Sustainable Fuels UK Road-Map · Scenario analysis estimates that in 2030 there may be 90-160...

Sustainable Fuels UK Road-Mapwww.sustainableaviation.co.uk

Sustainable Aviation would like to thank our following members for

leading the contribution to this document:

Additionally Sustainable Aviation would like to thank our following

members for contributing financially to this work:

www.sustainableaviation.co.uk of 84

Sustainable Fuels UK Road-Map Summary

Sustainable fuels have the potential to play an important role in achieving the

UK’s ambition to reduce carbon emissions from transport. This Road Map aims

to identify and forecast the potential for sustainable fuel production to 2050. Its

specific objectives are:

ENVIRONMENT To highlight the potential contribution that sustainable fuels can

make to supporting the decarbonisation of the UK economy;

ECONOMIC To explore the potential for job creation and economic growth in

the sustainable fuels sector;

GOVERNMENT To call for support from the UK Government to develop a shared

vision for sustainable fuels.

Global development in the sustainable fuels market is progressing rapidly with

those at the vanguard of new technology reaping the economic benefits of

early investment into commercialising fuels.

The UK should capitalise on its leadership in global aerospace and aviation

and seize the opportunities presented by the emerging sustainable fuel market

to reduce emissions, create jobs and bolster investments in science and

technology.

Environment

Sustainable Aviation (SA) is committed to the development of sustainable fuels

that meet strict technical approvals, significantly reduce life cycle greenhouse

gas (GHG) emissions over fossil fuel, meet stringent sustainability standards

and avoid direct and Indirect Land Use Change (ILUC).

The 2012 SA CO2 Road-Map developed initial estimates of the impact of

sustainable fuels to UK aviation. This Road-Map takes that initial analysis a

stage further, with new independent research undertaken by sustainable

energy consultants E4tech.

This analysis has shown that the use of sustainable fuels in the UK can

contribute to a reduction in CO2 emissions of up to 24% by 2050 for the

aviation sector. However, achieving this result will require a step change in

Government policy and investment frameworks.

http://www.sustainableaviation.co.uk/


Economic

The UK’s aerospace and aviation industries are important contributors to the

UK economy. The UK has the largest aerospace sector in Europe and UK

aviation provides £50 billion to the UK economy and around a million jobs.

If the UK can succeed in capitalising on the emerging sustainable fuels market,

the benefits to economic growth and high value employment could be

significant.

Scenario analysis estimates that in 2030 there may be 90-160 operational

sustainable fuel plants globally, producing aviation fuels in combination with

other fuels and products. Global revenue for these sustainable fuel plants is

estimated to be £8-17 billion in 2030.

Development of a domestic industry for the production of sustainable fuels

could generate a Gross Value Added (GVA) of up to £265 million in 2030

and support up 3,400 jobs. A further 1,000 jobs could be generated in global

exports.

Many of these novel technologies fail in the transition from development to

commercial scale production. This study outlines the need for support for the

growth of early stage technologies in the critical period to 2030. The ability of

the sector to decarbonise post 2030 will be curtailed without this support.

Enabling Sustainable Fuels Production by De-Risking Investment



Government

Industry is rising to the challenge. SA members are currently committed to

developing a number of sustainable fuel initiatives. Success of these and future

projects is dependent on SA continuing to work with the Government to create

a shared vision for sustainable fuels. SA recommends the establishment of

a public–private sector initiative to progress this shared vision.

Long-term policy stability and financial support for the scaling-up and rollout of

sustainable fuel production capacity will also be needed. We therefore

recommend:

LEVEL PLAYING

FIELD

Allowing sustainable fuel producers to claim Renewable Transport

Fuels Obligation certificates in line with road transport fuels;

FINANCE SUPPORT The financing of projects through existing institutions such as the

Green Investment Bank, which involves the Government

underwriting risk at different development stages;

R&D That priority should be given to dedicated research and

development (R&D) into sustainable fuels. Some countries are

already providing R&D support for new feedstock sources and

processing technologies to reduce fuel cost.

SA welcomes the Department for Transport’s £25 million grant for

demonstration scale advanced fuel plants as a positive first step. If the UK is to

lead innovation and development of advanced fuels technology and to be an

exporter, rather than importer of these technologies, a more focused approach

to sustainable fuels will be required to build on the UK’s competitive advantage

in relevant areas of science and technology.

A stylised chart summarising the work of this Road-Map is shown on the next

page.



Contents

Summary ................................................................................................................................................ 3 Useful terms .......................................................................................................................................... 9 Useful acronyms ................................................................................................................................. 10

Chapter 1: Introduction ...................................................................................................................... 12

1.1 Sustainable Aviation........................................................................................................... 12 1.2 Purpose .............................................................................................................................. 14 1.3 Developing sustainable fuels process................................................................................ 15 1.4 The need for ‘drop’ in fuels ................................................................................................ 15

1.5 Structure of this Road-Map ................................................................................................ 16

Chapter 2: Sustainability and aviation fuels .................................................................................... 17

2.1 Definition of sustainable fuels ............................................................................................ 17 2.2 Feedstock availability and sustainability ............................................................................ 19 2.3 Indirect impacts .................................................................................................................. 19

2.4 Sustainable standards ....................................................................................................... 21 2.5 Aviation and sustainable fuels ........................................................................................... 22 2.6 Next steps .......................................................................................................................... 23

Chapter 3: Development and certification of sustainable fuels for aviation ................................ 24 3.1 Safety and Certification of New Fuel Blends .................................................................... 24 3.2 Understanding the impact of fuel on airframe fuel systems ............................................... 26 3.3 Ensuring fuel quality to aircraft in a complex supply chain ................................................ 26 3.4 Future opportunities for sustainable fuel use ..................................................................... 27

3.5 Conclusions ........................................................................................................................ 28

Chapter 4: Delivering and accounting for sustainable fuels .......................................................... 30

4.1 Infrastructure and logistics ................................................................................................. 31 4.2 Developing sustainable fuels accounting ........................................................................... 32 4.3 Summary ............................................................................................................................ 33

Chapter 5: Sustainable fuel supply potential ................................................................................... 34

5.1 Scope ................................................................................................................................. 34 5.2 Approach ............................................................................................................................ 35 5.3 Assumptions ....................................................................................................................... 37 5.4 Results ............................................................................................................................... 39 5.5 Trajectory to 2050 – sustained growth ............................................................................... 40

Chapter 6: UK value in developing sustainable fuels .................................................................... 42 Chapter 7: Overcoming development barriers ................................................................................ 44

7.1 Economic barriers .............................................................................................................. 45 7.2 Policy barriers .................................................................................................................... 46 7.3 Financing barriers .............................................................................................................. 46 7.4 Technical barriers ............................................................................................................... 47



Chapter 8: Enabling sustainable fuels in the UK ............................................................................. 49 8.1 Policy certainty ................................................................................................................... 49 8.2 Market incentives ............................................................................................................... 51 8.3 Investment incentives......................................................................................................... 52 8.4 Research and development (R&D) ................................................................................... 53 8.5 The role of industry ............................................................................................................ 53

Chapter 9: The Sustainable Aviation Fuels Road-Map ................................................................... 55 9.1 The Road-Map ................................................................................................................... 55 9.2 Conclusions ........................................................................................................................ 57

Chapter 10: How we answered you ................................................................................................... 59

10.1 Political stakeholders ....................................................................................................... 59 10.2 Non-government organisations (NGOs) ......................................................................... 59

10.3 Summary of main response themes ............................................................................... 60

Appendix 1: UK aviation’s socio economic value ........................................................................... 61

Appendix 2: SA members’ work to support sustainable fuels ....................................................... 62

A2.1 Successful trials and demonstration flights ..................................................................... 62 A2.2 British Airways sustainable fuels activities ...................................................................... 63 A2.3 Virgin Atlantic’s sustainable fuel activities ....................................................................... 64 A2.4 Airbus’ sustainable fuel activities ..................................................................................... 65 A2.5 Boeing’s sustainable fuel activities .................................................................................. 67

Appendix 3: Technology .................................................................................................................... 69

A3.1 Technologies and standards ........................................................................................... 69 Appendix 4: Sustainable fuel logistics and blending ...................................................................... 73

A4.1 Traceability and chain of custody of sustainable fuel ...................................................... 73 A4.2 Blending/co-mingling of sustainable fuel ......................................................................... 74 A4.3 Adapted DEF STAN 91-91 descriptions .......................................................................... 74 A4.4 General Procedure for certification under ASTM and DEF STAN .................................. 75 A4.5 EU ETS rules on sustainable aviation fuel accounting .................................................... 77

Appendix 5: E4tech analysis on technical supply potential ........................................................... 79

A5.1 Available conversion technologies .................................................................................. 79 A5.2 HEFA ............................................................................................................................... 79 A5.3 Fischer-Tropsch ............................................................................................................... 80 A5.4 Synthesized Iso-Paraffinic (SIP) Routes ......................................................................... 81 A5.5 Alcohol-to-jet (ATJ) routes ............................................................................................... 81 A5.6 Hydrotreated depolymerised cellulosic jet (HDCJ) ......................................................... 82 A5.7 Summary of operational and planned plants ................................................................... 82 A5.8 Other key assumptions .................................................................................................... 83



Useful terms

Advanced fuel Advanced fuels are produced by more complex processing technologies

that are able to process wastes, residues and other feedstock types.

These successors to first generation of sustainable fuels usually yield

higher greenhouse gas savings and often avoid the land use concerns

associated with many first generation technologies and feedstocks.

Aviation fuel Current aviation fuel a kerosene-type fuel, commonly referred to as Jet A-

1 or Jet A. Jet A-1 is suitable for most turbine engine aircraft. It has a

flash point of 38oC and a freeze point maximum of -47

oC. Jet A is only

available in North America and has a higher freeze point (-40 oC).

Biofuel The term ‘biofuel’ is generally used to describe non fossil fuels derived

from biomass, but it’s important to note that the sustainability of some of

these can vary significantly depending on their source and processing.

“drop-in” fuels A Fuel that can be used with current aircraft and engine technology and

does not require modifications to aircraft engines and fuel systems and

ground supply infrastructure.

Fossil fuel General term for buried combustible geological deposits of organic

materials, formed from decayed plants and animals that have been

converted to coal, natural gas or crude oil by exposure to heat and

pressure in the Earth’s crust over hundreds of millions of years.

Jet A1 See aviation fuel above.

Low carbon fuel Fuels that provide high greenhouse gas lifecycle savings (>60%) when

compared with their fossil equivalents.

Sustainable fuel ‘Sustainable fuel’ can be derived from biomass, but could also be derived

from other sustainable sources that have a lower overall carbon footprint

than fossil- or some biomass-derived fuels – such as fuels made from bio

or non-bio waste streams.

Synthetic aromatic A manufactured aromatic hydrocarbon product, i.e. one that contains

alternating single and double bonds between carbons. The simplest form

of which is known as a benzene ring with six carbon and six hydrogen

atoms. Some aromatic compounds in Jet fuel contain more complex

fused benzene compounds.

Synthetic fuel A manufactured hydrocarbon product which is chemically similar to the

fossil equivalent that can be substituted for or mixed with other aviation

fuels. It may or may not be produced from sustainable feedstock.



Useful acronyms

ASTM ASTM International. Previously known as American Society for Testing

and Material. Owner of the major Jet fuel specifications ASTM D1655,

ASTM D7566, ASTM D4054.

ATAG Air Transport Action Group

ATJ 'Alcohol to jet' technology

BtL

CAA

CAAFI

Biomass to liquid technology

UK Civil Aviation Authority

Commercial Aviation Alternative Fuels Initiative

CCC UK Committee on Climate Change

CH Catalytic Hydrothermolysis

CLEEN US Federal Aviation Authority’s CLEEN is the Continuous Lower Energy,

Emissions and Noise Programme

CtL Coal to liquid technology

DEF STAN UK Defence Standard

DOD

EASA

US Department of Defence

European Aviation Safety Agency

EI Energy Institute (Petroleum Industry professional body owner of many

industry standards an soon to be custodian of the DEF STAN 91-91

specification)

EPFL Ecole Polytechnique Fédérale de Lausanne

EU RED EU Renewable Energy Directive

FAA US Government's Federal Aviation Administration

FQI Fuel Quantity Indication

FT Fischer Tropsch (processing pathway for sustainable fuels)

GBP Pound Sterling

GDP

GHG

Gross Domestic Product

Greenhouse gas



GtL Gas to liquid technology

HDCJ Hydro treated depolymerized cellulosic jet

HEFA Hydrogenation of esters and fatty acids

IATA

ILUC

International Air Transport Association

Indirect Land Use Change

ISEAL Alliance International Social and Environmental Accreditation and Labelling

Alliance – the global association for sustainability standards

JIG Joint Inspection Group (petroleum industry grouping of companies that

jointly operate many international airport fuel facilities)

LCA Life Cycle Analysis

MBMs Market based measures

NATS The UK's National Air Traffic Service

NNFCC The National Non Food Crops Centre is a leading international

consultancy with expertise on the conversion of biomass to bioenergy,

biofuels and bio based products

RSB Roundtable on Sustainable Biomaterials

SA Sustainable Aviation

SAK Synthetic Aromatic Kerosene

SIP Synthesized Iso-Paraffinic (fuel)

SK Synthetic Kerosene

SPK Synthetic Paraffinic Kerosene

UCO Used Cooking Oil

WWF World Wildlife Fund for Nature



Chapter 1

Introduction

Sustainable

Aviation is

committed to the

development of

sustainable

solutions for the

aviation sector.

1.1 Sustainable Aviation

Sustainable Aviation (SA) is committed to working collaboratively to accelerate

the development and commercialisation of advanced sustainable fuels in the

UK. Aviation fuels are most efficiently produced alongside other high value

products such as advanced diesel and other bio-chemicals.

SA was launched in 2005 and brings together the main players from UK

airlines, airports, manufacturers and air navigation service providers. SA has

established a long term strategy that sets out the collective approach of UK

aviation to tackling the challenge of ensuring a sustainable future for our

industry. The aerospace and aviation sectors make a vital contribution to the

UK economy (the economic benefits of the sector are provided in Appendix 1).

In 2012, Sustainable Aviation published its Carbon Dioxide (CO2) Road-Map,

setting out our combined view that UK aviation is able to accommodate

significant growth to 2050 without a substantial increase in absolute CO2

emissions. We also support the reduction of net CO2 emissions to 50% of 2005

levels through internationally agreed carbon trading. This is shown in the chart

below.

Figure 1.1 The SA CO2 Road-Map



Progress in the

development of

“drop-in” fuels.

SA estimated that by 2050 sustainable fuels will offer between 15% and 24%

reduction in CO2 emissions attributable to UK aviation. This assumption was

based on a 25-40% penetration of sustainable fuels in to the global aviation

fuel market, coupled with a 60% life-cycle CO2 saving per litre of fossil fuel

displaced. For the purposes of our Road-Map, we assumed an 18% reduction

in CO2 emissions from UK aviation through the use of sustainable fuels.

In recent years, significant technical progress has been made towards the

commercialisation of sustainable alternatives to fossil fuel. Several

demonstration flights have been undertaken, using ‘“drop-in”’ solutions that

replicate the characteristics of fossil fuel. Many different fuel production and

conversion processes are being developed, using an array of different

feedstocks including municipal waste and waste gases from heavy industry,

algae, and sustainable crops i.e. those grown on non-agricultural land having

no ILUC (Indirect Land Use Change) impacts and crop residues.

Following the approval, by the ASTM International fuels standards committee,

of three processes for generating sustainable fuels, airlines have flown

revenue flights - carrying fare paying passengers - using sustainable fuels

blended with fossil fuel. Thus technically-feasible solutions already exist.

However, at the moment, the market is at a nascent stage of development, and

these fuels are produced in small volumes at relatively high cost, and therefore

are not yet commercially competitive. The ultimate goal is to develop

commercial, sustainable, “drop-in” fuel solutions to form an increasingly

significant proportion of the fuel supplied at airports in the UK, and at airports

for flights to the UK.

Since publishing its CO2 Road-Map in 2012, SA has continued to review its

earlier assumptions about the role of sustainable fuels in achieving an 18%

reduction in total CO2 emissions from UK departing flights by 2050. As a

consequence, SA believes the time has now come to develop a more detailed

assessment of the contribution from sustainable fuels, their pathway towards

commercialisation, and the economic and policy conditions that would

maximise this potential.

Developing this Road-Map presented some challenges as it is inherently

difficult to forecast the size and shape of a new supply market. In the case of

sustainable fuels, the industry is very much in its infancy. ICAO is presently

working at a global level to model scenarios setting out the global potential of

sustainable fuels. Inevitably the technical potential for this new industry will be

realised only if governments support the development of sustainable fuel

supply chains.



Phot copyright British Airways 2014

Outlining the

opportunities for

the development

of sustainable

low-carbon fuels.

1.2 Purpose

This Sustainable Aviation Fuels Road-Map explores the opportunities for

reducing UK aviation carbon emissions through the use of fuels from

sustainable sources.

The Road-Map identifies the opportunities that exist to progress sustainable

fuels and offers proposals on the roles that industry and the UK government

can play to realise this opportunity. The aerospace industry already has

experience of successful collaborative initiatives working with government to

grow and promote high value technologies and jobs – SA firmly believes that

this model would form a good foundation to develop a similar approach for

sustainable fuels.

The specific objectives of this Road-Map are:

1. To identify and forecast global and UK potential sustainable fuel

production volumes out to 2050 and to relate these to the

assumptions made in the 2012 SA CO2 Road-Map;

2. To show the extent that UK produced sustainable aviation fuels can contribute to the decarbonisation of the UK economy and enhance UK fuel security;

3. To demonstrate a viable market potential for advanced sustainable fuels to producers, refiners, investors and other stakeholders;

4. To highlight the potential for this new industry in terms of job

creation, growth and improved fuel security in the UK;

5. To secure government engagement and support for sustainable

fuels for aviation.



Impact on aircraft

systems

The context for

“drop-in”

sustainable fuels.

1.3 Developing sustainable fuels process

Developing sustainable fuels requires a number of processes to come

together. This is depicted in the diagram below:

Figure 1.2 Elements required to deliver sustainable fuels

1.4 The need for “drop-in” fuels?

There has been great progress in the development of sustainable alternatives

to fossil fuel. These new fuels are often referred to as “drop-in” fuels as they

have a similar chemical composition to fossil fuels and can be completely

blended with existing fuels. New fuels that meet the performance

specifications (referred to as certified fuels) are able to be delivered into bulk

storage and delivery systems at airports and can be used alongside fossil fuel.

The fact that the fuels are “drop-in” means that no modifications have to be

made to existing aircraft and engines or to airport infrastructure. This

innovation has led to the creation of a new generation of fuels that often

deliver emissions benefits alongside sustainability benefits.



1 E4tech (2013) A Harmonised Auto-Fuel biofuel roadmap for the EU to 2030. Available from:

http://www.e4tech.com/auto-fuel.html

E4tech’s has led

the analysis of the

role of sustainable

fuels in the UK

and globally.

Over the longer term, both aircraft and engine manufacturers are working on

new innovative propulsion systems. These include electric hybrid systems, full

electric propulsion systems and the use of solar power. All these have the

potential over the longer term to reduce and possibly eliminate the need for

liquid hydrocarbon fuels; however, these are not likely to reach commercial

production within the next thirty years. The timeframe of the Road-map, i.e. to

2050, will focus exclusively on liquid hydrocarbon fuels that can be

manufactured from renewable feedstock.

1.5 Structure of this Road-Map

This Road-Map considers each of the key elements in Figure 1.2, to ensure

any fuels used in aircraft are safe and meet the sustainability criteria required.

SA has worked closely with E4tech who have worked at the interface between

energy technology, environmental needs, and business opportunities since

1997. Last year E4tech produced an EU harmonised Auto-Fuel biofuel

roadmap1 to 2030 giving them a thorough understanding of the biofuel market.

E4tech has also recently advised the UK Government on the future potential of

advanced sustainable fuels.

E4tech has led Chapter 5 of our Road-Map which reviews current sustainable

feedstocks and the processing options for the conversion of sustainable

feedstocks to aviation fuels. The chapter estimates how much sustainable fuel

is likely to be available for aviation, based on a range of possible future

scenarios. From this E4tech has derived a view on how much sustainable fuel

could be produced by 2050.

The other chapters of this Road-Map will explore the remaining elements

identified in Figure 1.2. Earlier in 2014, we presented a discussion document,

Fuelling the Future, outlining our initial thinking in this area. Chapter 10 of the

Road-Map outlines our feedback from stakeholders, including Government

policymakers, Non-Governmental Organisations (NGOs), industry and fuels

experts.

The Road-Map will conclude with how much sustainable fuel could be available

for aviation, with specific commitments from the aviation industry to take

sustainable fuels forward and requests to Government for help in realising the

potential.



Chapter 2

Sustainability and aviation fuels

At a glance

1. SA supports advanced fuels production and any policy mechanisms to ensure

that ILUC risk is addressed and mitigated.

2. The UK Government and aviation industry have a role to ensure that global

aviation policy frameworks address the issue of sustainability and that

sustainable fuels are incorporated into global climate change policy for

aviation.

Definition of

Sustainable low

carbon fuels

2.1 Definition of sustainable fuels

SA members are committed to the development of sustainable fuels that offer

significantly reduced life cycle greenhouse gas (GHG) emissions over fossil

fuels, including fuels that are produced from wastes, residues and non-food

crops grown on degraded lands. These fuels must:

Meet stringent sustainability standards with respect to land, water, and

energy use;

Avoid Direct and Indirect Land Use Change (ILUC) impacts, for example

tropical deforestation;

Not displace or compete with food crops;

Provide a positive socio-economic impact;

Exhibit minimal impact on biodiversity.

Fuel pathways and technologies modelled in this study by E4Tech use this

definition of sustainable fuel and this is referred to more fully in section 5.1.

SA members are actively supportive of the Roundtable on Sustainable

Biomaterials (RSB), widely recognised as the most robust global sustainability

standard2. The RSB is an international, multi-stakeholder standard organisation

that has developed a feedstock-and technology-neutral global standard for

sustainability.

In addition to the direct impacts that can generally be measured and attributed

2 WWF International (2013) Europe’s biofuels not guaranteed sustainable, finds new study. [Online].

Available from: http://wwf.panda.org/?uNewsID=212791


http://wwf.panda.org/?uNewsID=212791


to a fuel production method, we recognise that there is concern that the use of

land can have negative unintended consequences on the environment. Indirect

Land Use Change (ILUC), whereby the production of newly demanded

products on existing cropland displaces other agricultural activity to other high

carbon stock land (e.g. tropical forest), is a significant concern.

The possible extent of negative ILUC and the resulting GHG emissions that

may occur as a result of additional demands for a variety of crops in different

regions is not fully understood. Considerable work has been done to identify

policies and practices that mitigate the risk of causing negative ILUC3. SA

members have been heavily engaged with NGOs and policy-makers to ensure

that the sustainable fuels they are seeking to develop do not lead to negative

ILUC impacts. One major way of mitigating the risk of ILUC is through the use

of feedstock based on waste materials and residues for these sustainable

fuels.

SA welcomes the UK government’s recent work on advanced fuels production

and support the move to ensure that ILUC risk is identified and accounted for.

SA members have been focused on understanding best practice in this area

and are working with the International Civil Aviation Organisation, (ICAO) and

the International Air Transport Association, (IATA), EcoFys and NGOs to

develop globally harmonised sustainability criteria. As the UK was at the

forefront of standards development in the EU, SA believe that this is an area

where the aviation sector and government should work together to ensure that

sustainability of fuels production globally is prioritised as a complement to the

development of a global climate change policy for aviation.

3 WWF International, Ecofys and EPFL (2012) The Low Indirect Impact Biofuels (LIIB) Methodology.

Available from: http://www.ecofys.com/files/files/12-09-03-liib-methodology-version-0-july-2012.pdf


http://www.ecofys.com/files/files/12-09-03-liib-methodology-version-0-july-2012.pdf


Feedstock types

and availability

2.2 Feedstock availability and sustainability

Aviation fuels are produced by taking a feedstock and converting it via

industrial processes into a fuel. A range of different potential feedstocks have

been identified. Some are based on oil crops such as algae and other non-food

feedstock while others are based on waste sources such as municipal solid

waste, used cooking oil and waste industrial gases. More sophisticated

processing technologies necessary for the manufacturing of aviation fuels will

widen the number of available feedstock types, and many of these are low

grade, low value materials.

The European Climate Framework and the International Council on Clean

Transportation recently published a report on the availability of cellulosic

wastes and residues in the EU4, supported by SA members which identified a

potential of 900 million tonnes of available waste material in the EU. Of this it is

estimated that 220-230 million tonnes can sustainably be recovered for energy

production. The conversion of this into sustainable fuels could generate 36.75

million tonnes of advanced fuel for all transport modes.

Some SA members are part of the ICAO international Advanced Fuels Task

Force, which is currently assessing the availability of feedstock and

technologies based on a 2050 timeframe. The group is also working to derive

harmonised life cycle assessment methodologies.

There have been a number of reports over recent years outlining both

feedstock availability and the significant potential for the development of

conversion technologies in the UK.6 7

Indirect impacts

need to be

addressed.

2.3 Indirect impacts

Direct impacts can generally be measured and attributed to the party that

caused them. However, there is also concern that fuel production can have

negative unintended consequences with the most cited examples being

indirect land use change (ILUC) in which the production of newly demanded

products on existing cropland displaces other agricultural activity to previously

non-productive land. The possible extent of negative ILUC and the resulting

GHG emissions that may occur as a result of additional demands for different

crops in different regions is an issue that is a great concern to policy makers.

4 European Climate Foundation (2014) Wasted: Europe’s Untapped Resource. Available from:

http://europeanclimate.org/wp-content/uploads/2014/02/WASTED-final.pdf 5 This is a technical potential calculated on the basis of feedstock potential and assumes no limit in

terms of conversion capacity.

6 Low Carbon Innovation Coordination Group (2012) Technology Innovation Needs Assessment

(TINA). Bioenergy Summary Report, Available from: www.lowcarboninnovation.co.uk/document.php?o=9 7 Great Britain, Parliament, House of Commons (2014) Waste or resource? Stimulating a

bioeconomy. London: Science and Technology Select Committee. HL 141 (2013-14). Available from: http://www.publications.parliament.uk/pa/ld201314/ldselect/ldsctech/141/141.pdf


http://europeanclimate.org/wp-content/uploads/2014/02/WASTED-final.pdf

http://www.lowcarboninnovation.co.uk/document.php?o=9

http://www.publications.parliament.uk/pa/ld201314/ldselect/ldsctech/141/141.pdf


Considerable work has been done to identify policies and practices that

mitigate the risk of causing negative ILUC8. Members of the aviation industry

have been heavily engaged in discussions with NGOs and policy-makers to

ensure that the sustainable fuels they are considering using do not generate

risks of having negative ILUC impacts. One major way of mitigating the risk of

ILUC is through the use of feedstocks based on waste materials and residues.

Other ways in which the risk of ILUC impacts can be mitigated are:

Producing feedstock on unused land – that is land that is not currently

used to provide provisioning services (i.e. arable land and forestland).

Increasing feedstock availability for sustainable fuels without increasing

the pressure on land use through increased yield or land productivity.

Feedstock production on underused land - land that falls between the

above two categories

Increased feedstock availability through reduction in post-harvest waste.

Integrating food and fuel production in ways that lead to higher overall land

productivity.

Using feedstocks that require little land such as algae.

Sometimes fuels are referred to in terms of the generation of the technology with which they are associated (1

st, 2

nd, 3

rd, etc.) or ‘Advanced’ compared to

early types of feedstock and processes, as a shorthand way of distinguishing sustainable from non-sustainable fuels. Such classifications can sometimes be overly simplistic and do not provide a consistent indication of sustainability.

The aviation industry has been very focused on understanding best practice in

this area and SA members believe the key determinate of a fuel’s sustainability

is whether it can meet a robust independent standard which is independently

audited.

Photo Copyright Boeing 2014

8 WWF International, Ecofys and EPFL (2012) The Low Indirect Impact Biofuels (LIIB) Methodology.

Available from: http://www.ecofys.com/files/files/12-09-03-liib-methodology-version-0-july-2012.pdf


http://www.ecofys.com/files/files/12-09-03-liib-methodology-version-0-july-2012.pdf


The need for

stringent

sustainability

standards.

2.4 Sustainability standards

Sustainability standards have been developed to provide reassurance that

supply chains are robust and provide genuine environmental and climate

benefits. Increasingly they also address socio-economic aspects of fuel

production. Some of these standards are national or regional standards that

are embodied in legislation. Others are voluntary standards developed by

NGOs.

The EU has a target of obtaining 10% of its transport fuel from renewable

sources by 2020. To achieve this goal the EU Renewable Energy Directive

(RED) establishes renewable energy mandates and financial incentives for

eligible fuels. The RED specifies a number of sustainability criteria that fuel

must meet in order to be deemed ‘sustainable’ within the EU.

Minimum level of GHG emission saving of 35% compared to fossil fuels,

rising to 50% from 1st January 2017, and 60% from 1

st January 2018 for

new plants that begin production from 2017.

Areas of high carbon stock (wetland, forest and peat land), should not be

used for fuel production.

Land with high biodiversity should not be used for biofuels production.

The EU is also implementing changes to existing legislation to address

concerns about ILUC impacts.

The EU RED is then transposed into national legislation by Member States. In

the UK the RED is implemented through the Renewable Transport Fuel

Obligation (RTFO). Under the RTFO, those supplying biofuel must meet

specified sustainability criteria in order for their fuels to be recognised as being

entitled to the benefit of Renewable Transport Fuel Certificates (RTFCs).

Obliged fuel suppliers are required to redeem a number of RTFCs in proportion

to the volume of unsustainable fuel (e.g. fossil fuels) they supply. RTFCs may

be earned by any company supplying sustainable fuels. They may be bought

or sold on an open market, Obligated suppliers also have the option to ‘buy

out’ their obligation, paying a fixed fee per litre of sustainable fuel that would

otherwise have to have been supplied to earn RTFCs. Fuels from wastes and

residues (and lingo-cellulosic and non-food cellulosic feedstocks) earn double

credits. These fuels receive twice as many RTFCs per litre. For all fuels

sustainability data supplied must be independently verified by a qualified third

party.

A number of different voluntary standards exist that relate to biofuels. The most

robust of these have been developed through multi-stakeholder frameworks

and follow the ISEAL Principles. The ISEAL Alliance is a non-governmental

organisation whose mission is to promote best practice in standards

organisations and certification systems. Membership is open to all multi-

stakeholder sustainability standards and accreditation bodies that demonstrate

their ability to meet the ISEAL Codes of Good Practice and accompanying

requirements, and commit to learning and improving.

As previously referenced, the premier biofuel sustainability standard is that

offered by the Roundtable on Sustainable Biomaterials (RSB) – formerly the



Roundtable on Sustainable Biofuels. The RSB is an international, multi-

stakeholder standard organisation that has developed a feedstock and

technology-neutral global standard for sustainability. It is a fully qualified

biofuels standard of the ISEAL Alliance. Another voluntary standard relevant to

sustainable fuels is that developed by Bonsucro - a not-for-profit initiative

dedicated to reducing the environmental and social impacts of sugar cane

production. Bonsucro is also a member of the ISEAL Alliance.

The EU has formally recognised a number of voluntary standards approved to

demonstrate compliance with the EU RED sustainability requirements. These

include the RSB standard.

SAFUG involves

both airlines and

aircraft

manufacturers

and is working to

create new

sustainable

supply chains.

SAFUG

Sustainable fuel

requirements.

2.5 Aviation and sustainable fuels

A global airline-led initiative called the Sustainable Aviation Fuel Users Group

(SAFUG) was formed in September 2008 with support and advice from leading

environmental organizations such as the Natural Resources Defence Council

and the RSB to help accelerate the development and commercialization of

sustainable fuels in aviation. Airlines that become members commit to consider

specific sustainability criteria when sourcing ‘sustainable’ fuels. The Group now

has 28 member airlines which represent approximately 33% of annual global

commercial aviation fuel demand. SAFUG’s membership includes a number of

members of Sustainable Aviation.

Sustainable Aviation is committed to strong sustainability principles, consistent

with those of SAFUG. As such it has committed to only support sustainable

fuels that, in addition to the Renewable Energy Directive criteria, also meet at

least the following sustainability requirements9:

1. Any aviation fuel should be developed in a manner that is non-competitive

with food and where biodiversity impacts are minimized;

2. The cultivation of any land should not jeopardize drinking water supplies or

have a negative impact on an area already identified as suffering from high

water stress;

3. High conservation value areas and native eco-system should not be

cleared and cultivated for aviation fuel production– directly or indirectly;

4. Total life cycle GHG emissions should be significantly reduced compared

to those associated with fossil sources (at least 60% emission saving);

5. In developing economies, development projects should include provisions

for outcomes that improve socioeconomic conditions for small-scale

farmers who rely on agriculture to feed them and their families, and that do

not require the involuntary displacement of local populations.

Members of SA pursue specific sustainable fuel projects. The fuel is certified to

ensure it meets robust sustainability standards. Details of specific projects that

SA members are pursuing and their sustainability is provided in Appendix 2.

9 Sustainable Aviation (2013) Fuels Progress Paper July 2013. Available from:

http://www.sustainableaviation.co.uk/wp-content/uploads/SASFWG__-sustainable_fuels_final_doc-150713.pdf





The number of

sustainable routes

to advanced fuels

is increasing.

2.6 Next steps

As the sustainable fuels industry is beginning to develop a growing number of

companies are gaining formal sustainability certification for the production of

their fuel. A body of knowledge on best practice in terms of producing

feedstocks and converting these into fuel will also develop. Both of these are

expected to increase customer, investor and stakeholder confidence that future

fuels are genuinely sustainable. In conclusion, we at SA are fully committed to

only deploying alternative fuels that meet the highest sustainability standards.

Photo Copyright Airbus 2014



Chapter 3

Development and certification of

sustainable fuels for aviation

At a glance

1. Three new production pathways have obtained aviation fuel specification

approval (certification) as acceptable processes to produce fuels that can be

blended with fossil fuels. Other production pathways are also being assessed

for potential use in aviation.

2. The UK also certifies aviation fuels through the Ministry of Defence. It has an

important role in maintaining the long-term technical authority and ownership

of these standards to sustain, improve and modify the specification to enable

sustainable fuel use in Europe.

3. Presently aviation fuels are rarely integrated into new advanced fuels

research programmes and this needs to be addressed. There may be

opportunities to improve the capacity and capability to test new fuels at

lower cost.

4. Integrating the UK’s efforts to develop new advanced fuels would deliver

synergies across sectors. Bilateral agreements between governments and

industry also have the potential to improve efficiency of advanced fuels

developments.

This chapter explores how the aviation industry is working with other

stakeholders to enable the use of sustainable fuels in aircraft. Technology and

certification requirements of sustainable fuels are explored from fuel

production to fuel deployment.

Quality of fuel

properties

3.1 Safety and Certification of New Fuel Blends

To ensure the safe operation of flights specific limits are placed on fuel

properties and requirements for fuel quality. In addition fuel made from new

production pathways have additional requirements, e.g. blending ratios with

fossil fuel, to ensure that the resultant fuel properties are consistent with the

historical experience of existing aviation fuels.



Re-certification

issues for new

fuel

Complete re-certification of the aircraft would be required to use any other form

of aviation fuel or fuel blend outside these limits: any new sustainable fuel has

to be certified as being equivalent to either DEF STAN 91-91 JET A1 or ASTM

D1655 JET A/A1 in order to qualify for use in the existing aircraft fleet. These

sustainable fuel blends are referred to as “drop-in” fuels.

Mixing with fossil

fuel

Currently any new sustainable fuel stock must be mixed with fossil fuel. Limits

vary depending on the production process - from 10% to a maximum of a 50%

blend. Given the small volumes of sustainable fuel currently being produced,

this blending limit does not constitute a near-term barrier to scaling-up the use

of this fuel.

Current aviation

infrastructure

As “drop-in” fuels are the most realistic and cost-effective means of reducing

aviation’s contribution to carbon emissions within the foreseeable future, this is

where SA has focused its efforts. The costs and nature of the current aviation

infrastructure (airports, aircraft, etc.) offer few alternatives to “drop-in” fossil

fuels. Conversely, the relatively limited number of fuelling locations worldwide

compared to those necessary for ground transport vehicles (i.e. number of

airports vs. petrol stations) offers great potential for providing a comparatively

simple, sustainable “drop-in” fuels logistics model. Supplies can be

aggregated around airports to reduce fuel transportation and congestion whilst

simultaneously improving air quality and reducing carbon emissions and costs.




3.2 Understanding the impact of fuel on airframe fuel systems

There are a range of additional issues which need to be safely managed

before using new sustainable fuels.

Impact on aircraft

fuel systems

When considering the incorporation of new production pathways for “drop-in”

fuels the effect on the fuel quantity gauging indication (FQI) systems has to be

considered. Aircraft FQI systems depend on inherent properties (e.g. viscosity)

of existing fossil fuels. If fuels do not exhibit similar properties to fossil fuels,

the fuel indication provided to the flight crew could be inaccurate.

Fuels also have to ensure the correct fuel flow to the engines in all operating

conditions. Therefore the properties must be consistent with existing aircraft

performance requirements.

Supply chain

initiatives

Assessments of fuels on aircraft and airframe compatibility are part of the

ASTM approval process. The Initiative towards Alternative Kerosene for

Aviation (ITAKA) is a supply chain initiative launched in the EU for the

production of sustainable HEFA fuels to be used regularly over a 3 year

period10

. This will permit production volumes with the ability to collect data on

regular flights.

In the USA the CAAFI organisation has co-ordinated work to support the

certification of sustainable fuels through a range of Department of Defence

funding. This co-ordination has ensured that duplication of efforts to test new

fuels have been minimised. The EU needs to provide more focus to support

certification and to develop new pathways.

Ensuring quality

in a novel fuels

supply chain

3.3 Ensuring fuel quality to aircraft in a complex supply chain

In transitioning from the existing well-established fossil fuel supply chain model

to a sustainable fuel infrastructure, there will be new entrants at many of the

stages: feedstock, bio-oil processing, refining, and even fuel blending partners;

each with relatively less experience than those in the existing mature fuel

supply chain. Airlines, engine and airframe manufacturers, and the wide

number of fuel supply industry players will continue to work with the bodies

listed below to ensure that procedures, standards and the parameters for fuel

quality are defined, enforced and maintained:

ASTM and DEF STAN;

FAA and EASA; (US and EU aviation regulatory bodies)

The Energy Institute (EI);

IATA;

The Joint Inspection Group (JIG);

Regulatory authorities.

10

50 Airbus flights by KLM will utilise 4,000 tonnes between 2012 and 2015



Exploring system

boundaries

3.4 Future opportunities for sustainable fuel use

Activity on approving new fuels has focused on replicating the properties of

fossil fuel and testing has mostly been designed to demonstrate “no harm” to

airframe or engine systems.

Engine and airframe manufacturers are working to understand the impact on

engines and airframes of sustainable fuels where the fuel composition and/or

properties deviate from conventional fossil fuel, and to determine to what

degree specifications for these fuels can be acceptably extended to facilitate

the increased use of sustainable fuels. On-going work focuses on:

increasing proportions of already approved HEFA and FT fuels

beyond 50% blend mix with fossil fuel

exploring and approving new feedstocks and processes.

The potential environmental and energy security benefits are considerable. SA

members have worked on a number of other technology pathways11

. Many of

the technologies under development are able to use waste materials, waste

gases or agricultural residues and many are feedstock flexible.

Increased

blending levels of

sustainable and

fossil fuels

Ambition to

achieve 100%

sustainable fuel

with no blending

requirement

Specification limitations for “drop-in” aviation fuel blends impose restrictions on

supply logistics such as requiring blending of the fuel prior to delivery to the

airport. These limitations introduce more cost into the supply chain; and could

lead to these products being used for less demanding applications. .

A primary reason for the requirement to blend some synthetic fuels with fossil

fuel is because they do not contain aromatic hydrocarbons. Aromatic

hydrocarbons ensure the safe performance of the entire aircraft and engine

fuel system, and also ensure fluid property requirements are met.

Experimental work is underway to further explore potential acceptable limits to

reduce the proportion of fossil fuel that must be retained in the blend to deliver

these performance requirements and this will allow increased use of

sustainable fuels.

In the near term it is unlikely that the 50% blend limit will impose any real

limitation for many years as the volumes of HEFA and FT fuels available are

currently very low. The eventual aim is to develop 100% sustainable “drop-in”

fuels which do not require blending with fossil fuel. This may be achieved

through introduction of synthetically produced aromatic compounds – which

can be produced sustainably or by completely removing the need for aromatics

content in fuel.

A number of fuel suppliers are exploring processes to produce synthetic

aromatic compounds which can be blended with sustainable fuel, or be co-

produced as part of a new fuel process.

Rolls-Royce and British Airways have collaborated as part of the FAA funded

CLEEN programme, to test a number of new fuels containing synthetic

11

Rolls-Royce and British Airways completed studies of novel technology pathways in 2012, which are currently awaiting final approval from FAA.



aromatic compounds. The objective is to understand the suitability and

functional performance of these fuels. Some of them have different mixes of

hydrocarbons to fossil fuel or other aviation fuels already certified. As these

fuels and aromatic components are still at a low Fuels Readiness Level

(FRL)12

, a significant amount of testing is required by all stakeholders in the

ASTM process prior to these fuels being approved for commercial use.

3.5 Conclusions

The challenges faced by the aerospace manufacturers in adapting their

designs to take advantage of sustainable fuels have been set out. Details of

the various projects and initiatives being invested by the aviation industry have

been presented alongside the strict regulatory requirements that have to be

met to ensure flight safety is maintained. Evidently, ‘“drop-in”’ sustainable fuels

must be the priority for current and planned sustainable fuels.

Lanzatech / Virgin Atlantic Sustainable Fuel Plant in Shanghai, China

Photo Copyright Virgin Atlantic Airways Ltd 2014

12

CAAFI (2014) Fuel Readiness Level. [Online]. Available from: http://www.caafi.org/information/fuelreadinesstools.html#FRL


http://www.caafi.org/information/fuelreadinesstools.html#FRL


Solena Greenskies / British Airways Sustainable Fuel Plant schematic, Coryton, UK

Photo Copyright British Airways 2014



Chapter 4

Delivering and accounting for sustainable

fuels

At a glance

As the fuels under development are “drop-in”, risks associated with supply and

distribution are minimised. However, we expect that a variety of new suppliers will

enter the advanced fuels market and these will need support to ensure that the

stringent quality standards that exist for aviation fuel (Jet A1) are adhered to.

Methods to account for and provide incentives for sustainable fuels must take

account of the co-mingled supply chains for these fuels.

1. We recommend that a code of practice be established to ensure that new fuel

suppliers are able to meet the stringent quality and safety standards

associated with the production and handling of certified aviation fuel.

2. Access to distribution systems will need to be permitted in future as a

greater supply of synthetic fuels enters UK pipelines, storage and handling

systems. There are still barriers to overcome in this area.

3. The zero rating of fuels under the EU Emissions Trading Scheme (ETS)

provides a modest incentive for aviation fuels (whereby eligible credits are

valued at approximately 16 Euro/tonne of fuel.) We welcome the recent

guidance allowing purchase based accounting and recommend a pragmatic

approach to accounting for third party purchases of biofuels.

4. If the EU RED does recognize fuels derived from fossil fuels wastes, under the

definition of advanced fuels, measurement systems to account for mixed

fossil/sustainable and pure fossil fuels will need to be developed.

This chapter explores how the aviation industry is working with other

stakeholders to enable the use of sustainable fuels in aircraft. Technology and

certification requirements of sustainable fuels are explored from how the fuel is

produced to how it is safely deployed on the aircraft.



The ASTM fuels

approvals process

and alignment

with DEF STAN

91-91

4.1 Infrastructure and logistics

Sustainable fuel and blends with fossil fuel that are approved through the

ASTM international approval process (specification D7566) are also

recognized as meeting the US specification for JET A/A1 (D1655) and the UK

DEF STAN 91-91 specification for JET A1. Consequently, the existing

infrastructure – most importantly fuel pipelines and hydrant systems – can be

used both for distribution to and fuelling at the airport.

However, existing distribution and storage infrastructure in the UK is either

privately owned or controlled by the UK Ministry of Defence. This can create a

barrier to entry for fuel suppliers. Present MOD standards do not allow

synthetic fuels to enter MOD controlled pipelines; severely limiting the use of

existing infrastructure. SA understands that the MOD is acting to address this

barrier, but progress to date has been slow.

New indigenous supply of advanced fuels will add robustness and resilience to

fuel supply in the UK and these fuels can play a strategic role in the UK’s future

fuel security. At present, around 60% of all fossil fuel is imported into the UK.

There are seven UK refineries with capacity to produce aviation fuel but it is

likely that UK capacity will reduce over time. It is therefore appropriate that the

government plays a part in promoting the production, storage and distribution

of sustainable fuel in the UK.

Appendix 4 provides a more detailed discussion around the relevant standards

required to develop effective supply chain logistics for sustainable fuels.

Supply chains for aviation fuels are becoming increasingly fragmented and the

growth in sustainable fuel production, often involving new entrants to the fuel

supply chain, may have an impact on quality and safety. The introduction of a

code of practice for fuel suppliers would give the necessary assurance that

suppliers have met the required standards.



Accounting

systems for

dealing with co-

mingled supply

chains are

needed.

4.2 Developing sustainable fuels accounting

Accounting systems for the use of sustainable fuel need to take account of the

joint distribution of fuels. Sustainable aviation supports a “book and claim”

accounting approach to ensure that airline operators can account for the

greenhouse gas emission reduction benefits associated with the consumption

of biofuels. “Book and claim” allows a consumer to purchase a renewable

energy product, without the need to receive and use that product. This

methodology removes the barrier of having to supply the fuel at specific

locations and hence can reduce distribution emissions from extended supply

chains. This would minimise the shipping emissions associated with the

movement of large volumes of sustainable fuel and provide an efficient method

to promote investment in sustainable fuel technologies.

The European Union ETS now allows purchase based accounting (this is a

more stringent version of book and claim requiring proof of fuel supply to

relevant airports.) Revised guidance issued in 201213

details the accounting

methods to be used for aviation.

For those fuels meeting the sustainability requirements set out in the EU

Renewable Energy Directive, (RED), a zero rating of emissions has been

designated. Currently fuels produced from fossil waste gases are ineligible for

a zero rating. Subject to these fuels being added to the RED definitions for

advanced fuels, measurement and accounting methods specified will need to

be amended to reflect these changes.

SA urges the UK to implement a pragmatic approach to tracking sustainable

fuel purchases. Appendix 4.5 provides the full current guidance for aviation

from the Monitoring Reporting Verification rules. These rules specify the data

requirements for all participants in the ETS and the treatment for the

accounting of sustainable fuel.


13

European Commission (2012) Biomass issues in the EU ETS. MRR Guidance document No. 3, Final Version of 17 October 2012. Available from: http://ec.europa.eu/clima/policies/ets/monitoring/docs/g


http://ec.europa.eu/clima/policies/ets/monitoring/docs/g


4.3 Summary

This chapter has set out the challenges involved in introducing sustainable

fuels into the existing fuel delivery infrastructure. Current ways to account for

the use of sustainable fuels present some challenges and SA has made

specific recommendations to Government in this area to enable future growth

in the use of sustainable fuels.



Chapter 5

Sustainable fuel supply potential

Rapid progress in the technological development of sustainable fuels for aviation

has been made since the first sustainable fuel gained certification for commercial

aviation in 2009. E4tech were appointed to estimate the potential role of

sustainable fuels in achieving carbon reductions from UK departing flights14

in the

period to 2030 and to assess the role played of these fuels from 2030 to 2050.

This chapter presents E4tech’s findings in estimating potential sustainable fuel

production and associated CO2 savings.

Scope and

sustainability

requirements for

the E4tech

analysis.

In the near term,

we expect fuels

will be used near

5.1 Scope

In this chapter we provide an estimate of how much sustainable fuel may be

produced globally and in the UK to 2030, and the CO2 emissions savings that

may be achieved through the use of sustainable fuels. We then also estimate

the volume of sustainable fuel required to meet the SA projections for 2050,

and discuss the viability of these aims.

SA define sustainable fuels as those fuels that are produced from wastes

(including the biogenic and non-biogenic fractions of post-consumer and

industrial wastes), residues, and non-food crops from degraded land (avoiding

food versus fuel conflicts and the impact of indirect land use change). This

report therefore considers fuels fitting this definition and also additional

sustainability criteria.

Due to the fuel supply infrastructure and fuel quality requirements, sustainable

fuels are blended with fossil fuel. As a result, this report includes only

sustainable fuels that have been or are expected to be approved as fossil fuel

blending components by the relevant standardisation organisations.

The scope of the Sustainable Aviation CO2 Road-Map includes all commercial

flights departing from UK airports, and therefore the potential UK supply of

sustainable fuels is presented relative to the projected fuel demand for all

commercial flights departing from UK airports. At present, the majority of fuel

used in flights departing from UK airports is dispensed within the UK and fossil

fuel is imported to meet current UK demand. But in the case of sustainable

fuels, the industry believes that in the near term, they will be used near the

point of production, at least while volumes remain relatively low and prices

14

This is consistent with UK government accounting principles and is the approach taken in previous SA Road-Maps.



the point of

production.

high. In the longer term sustainable fuels may become commoditised and

traded internationally as supply and demand dictates.

Our approach focuses on estimating global and UK production of sustainable

fuels to 2030, and the potential CO2 emissions savings that may be realised

through their use. If the scale of ambition of the UK aviation industry to reduce

CO2 emissions remains high, and appropriate supportive mechanisms are in

place, it is possible that UK aviation could access greater volumes of

sustainable fuels to those produced in the UK, uplifting sustainable fuels at

other airports, or importing sustainable fuels into the UK.

Approach and

scenario

modelling

5.2 Approach

Our approach assumes that the main constraint to the supply of sustainable

fuels to 2030 is limited production capacity, due to the low levels of existing

capacity and the early stage of development of the majority of technologies.

2020: sustainable fuel potential is equal to estimated UK and globally

production capacity, based on an inventory of operational and planned plants,

see Appendix 5.7.

2030: we assume sustainable fuels are produced by processes that have been

proven at pilot scale as a minimum. Production capacity is estimated based on

scenario analysis which defines plant build rates and production capacity

growth between 2020 and 2030. The scenarios are defined based on the

economic capacity for increased production capacity across the sustainable

fuels sectors and the scale of ambition for sustainable fuels in the aviation

sector. We present the following three scenarios for sustainable fuel availability

to 2030:

Business as usual (BAU): Business as usual describes a situation in

which continued policy uncertainty leads to low growth in sustainable

fuel production capacity for all transport modes.

Low: This scenario describes a future in which strong growth in the

production of sustainable fuels for road transport results in availability

of fuels for aviation, although aviation continues to consume only a

small proportion of fuel production. This scenario may emerge from a

policy framework that continues to promote the use of sustainable fuels

in road transport, but where the implementation of policy to support the

use of sustainable fuels in aviation is largely delayed beyond 203015

.

High: The high scenario describes an ambitious trajectory where low

financial constraints result in strong growth in the production capacity

for sustainable fuels, and strong market pull from the aviation sector,

due to for example strong supportive policy, results in a high proportion

of new capacity producing sustainable fuels.

15

The scenario analysis found constrained growth in the production of sustainable fuels and strong demand from the aviation sector lead to a similar result



2050: we have estimated the volume of sustainable fuel required to achieve

GHG emission savings of between 18% and 24%16

in the UK, and quantified

the annual growth rates required to achieve this aim.

UK aviation is not alone in its ambition to achieve carbon neutral growth, and

interest in using sustainable fuels in order to achieve these ambitions. We have

therefore estimated global demand for sustainable fuels based on equal

international GHG emission saving targets.

Under this approach the UK’s use of sustainable fuel is assumed to be

proportionate to its share of the commercial aviation market. UK aviation could

however play a greater role in stimulating the demand for sustainable fuels.

Photo Copyright TUI Travel Plc 2014

16

Corresponding to the central and high projections of the Sustainable Aviation CO2 Road-Map



Supply potential

2020

5.3 Assumptions

The sustainable fuel potential is based on an inventory of operational and

planned plants that could produce “drop-in” fuels suitable for aviation, based on

publically available information on pilot, demonstration and commercial plants.

A summary of the available technologies in the near term are described in

Appendix 3 and the list of present and projected capacity are given in Appendix

5.

The inventory provides an estimate of the pipeline up to 2020. However, there

is uncertainty over how many plants will be successfully established due to a

wide range of technical and market barriers. Individual projects have therefore

been assigned a realisation potential factor based on the stage of

development17

.

Total production capacity in 2020 is calculated as a function of reported plant

size, potential aviation fuel fraction, and realisation potential. Where the

volume of fuel is not stated, we have assumed the fossil fuel fraction is equal to

the low boundary of the ranges presented in Table 5.1. For the UK, 2020

production capacity is based on planned plants and a higher estimate is based

on the UK share of the commercial aviation market. In 2020, the UK share of

commercial aviation is estimated by Sustainable Aviation on the basis of

Revenue Passenger Kilometres at 4.8%.

Supply potential

2030

The global production capacity increase between 2020 and 2030 is calculated

based on the lower and upper build rates, average plant size, and aviation fuel

fraction presented in Table 5.1. Under the BAU scenario, production capacity

increase is calculated as the product of the lower build rate, average plant size

and lower aviation fuel fraction, summed for all technology groups. Under the

low scenario, production capacity increase is calculated as the product of

upper build rate, average plant size and lower aviation fuel fraction for

technologies, and under the high scenario, production capacity increase is

calculated as the product of the upper build rate, average plant size and upper

aviation fuel fraction for all technologies. The plant build rate assumptions are

based on the current technology status, historical build rates, and the number

of technology providers18

.

Between 2020 and 2030, UK production capacity is estimated to grow in line

with global production capacity, at average annual growth rates of between 8%

and 26%. Due to there being a small number of plants, we have added an

integer analysis to ensure total volumes represent full scale plants.

17

Operational plants and those under construction allocated a realisation factor of 1, and 0.75 is allocated to projects at the advanced stages of development; which may be indicated by site identification, planning and permits, and/or off-take agreements. Projects at earlier stages of development 0.5, and announcements which indicate an aim or interest in developing plants 0.25. 18

E4tech (2013) A harmonised Auto-Fuel biofuel roadmap for the EU to 2030. Available from: http://www.E4tech.com/PDF/EU_Auto-Fuel-report.pdf


http://www.e4tech.com/PDF/EU_Auto-Fuel-report.pdf


Table 5.1: Assumptions for global production capacity growth for each technology group

(2030)

Number of

plants

Average plant size

Sustainable fuel

fraction

Lower Upper Tonnes P.A. Lower Upper

HEFA 8 16 280,000 20% 60%

FT 12 28 124,000 20% 50%

SIP 36 67 40,000 – 115,000a

20% 60%

ATJ 12 52 55,000 – 155,000b 50% 50%

HDCJ 6 14 120,000 20% 60%

a. SIP represents a group of technologies expected to operate at

different scales. We have therefore applied different assumptions

on plant size under the BAU and low/high scenarios.

b. Ethanol plant sizes, the range represents different plant

locations.

GHG emissions

savings

The GHG emissions for each fuel type have been estimated based on reported

literature values for a representative range of feedstocks. We have assumed

annual improvements in lifecycle GHG emissions of 1% per year for

established technologies (HEFA and FT), and 2% per annum for technologies

at an earlier stage of development which may achieve greater efficiency

improvements (SIP, ATJ, and HDCJ). Emission savings are calculated based

on a GHG emissions factor for fossil fuel of 3.15 tCO2eq/t.

Table 5.2: GHG emission saving estimates for each technology group (tCO2eq/t)

Emission

savings factor

2020

Emission

savings factor

2030

Emission savings

factor 2050

HEFAa 2.9 2.9 2.8

FT 3.0 3.0 3.0

SIP 2.5 2.6 2.7

ATJ 2.3 2.5 2.6

HDCJ 2.2 2.4 2.5

a. Emissions savings for HEFA reduce to 2050 as a result of

feedstock diversification. As the demand for HEFA increases

beyond the supply of waste oils, growth continues based on low

ILUC oil crops and microalgae.



Supply potential

2020

5.4 Results

The potential global supply of sustainable fuels for aviation is estimated at 1.3

million tonnes in 2020. This includes between 50,000 and 60,000 tonnes of UK

production, and represents approximately 0.45% of total aviation fuel demand.

The prospects for the UK are largely dependent on the success of the

BA/Solena plant in London. In addition, some other technologies, such as the

Virgin Atlantic/Lanzatech plans to process waste gases from steel production,

could also be implemented in the UK before 2020.

Supply potential

to 2030 – critical

ramp-up

Global and UK

potential to 2030

The main focus of this study is the estimation of the potential supply of

sustainable fuels up to 2030. This is estimated based on scenarios for growth

which consider:

Economic capacity: the capacity of the sustainable fuels industry to

invest in new production capacity and to commercialise technologies at

early stages of development. This determined the potential growth in

production of sustainable fuels.

Scale of the ambition for sustainable aviation: the market pull for

sustainable fuel, which includes the scale of ambition of the industry,

political focus and regulatory support for the use of sustainable fuels in

aviation. This determines the volume of sustainable fuel allocated to

aviation.

The purpose of the scenario analysis is to determine the range of possible

futures in 2030, rather than to focus on the potential for specific technologies or

products. For this reason, growth has been modelled based on five categories

of sustainable fuels that may be suitable for aviation, which represent the wide

range of technologies currently under development.

It is estimated that in 2030, between 3 and 13 million tonnes of

sustainable fuels may be produced globally (3.6 – 16.3 billion litres).

Equivalent to 0.7 – 3.3% of global aviation fuel use, and GHG emissions

savings of between 8 and 35 million tonnes of CO2 eq. This would require an

average growth rate of 9-26%.

In comparison, the IEA estimate that global biofuel production increased from

16 billion litres in 2000 to more than 100 billion litres in 2010, based on

commercially mature technologies, to provide 3% of total road transport fuel

globally (on an energy basis). Representing an average annual growth rate of

20%, a central point between the scenarios.

In the UK, we estimate that sustainable fuel production could reach

between 100,000 and 640,000 tonnes per annum in 2030. This translates to

between 5 and 12 sustainable fuel plants in the UK, producing between 20%

and 60% of aviation fuel in combination with road transport fuels.



Figure 6.1 – Estimated UK sustainable fuels production to 2030 (tonnes per annum)

Growth potential

in the longer term.

Linking back to

the Carbon Road-

Map estimates.

5.5 Trajectory to 2050 – sustained growth

In 2012, SA estimated that by 2050, sustainable fuels should offer between

15% and 24% reduction in the CO2 emissions attributable to UK aviation, with a

central scenario of 18% CO2 emission reduction. This was based on the

assumption that sustainable fuels contribute between 25% and 40% of the

aviation fuel market, and achieve life-cycle CO2 emissions savings of 60%

compared to fossil fuel.

Most sustainable fuels may actually achieve GHG emission savings of

between 80 and 95%, and we estimate that the volume of sustainable fuel

required to meet the SA GHG aims in the UK is between 3.3 and 4.5

million tonnes per year in 2050. International commitment to these

targets would require between 140 and 190 million tonnes of sustainable

fuel in 2050 (equivalent to 17% -28% of total fuel consumption).

To achieve the high 24% GHG emissions saving target, based on the high

scenario for production to 2030, would require a sustained annual growth rate

of around 14% per year between 2030 and 2050. Whilst to achieve the central

aim of 18% GHG emissions savings, from the low scenario for production to

2030 would require a sustained annual growth rate of 18% between 2030 and

2050.

These annual growth rates are not dissimilar to historic growth rates in global

biofuels production. For example between 2001 and 2011 biofuel production

grew from 16 billion litres to 100 billion litres, corresponding to an average

annual growth rate of 20%. But, to achieve this level of growth, the production

and use of sustainable fuel must be mainstream by 2030, having overcome

technical barriers and market entry barriers. For comparison, the IEA BLUE

Map Scenario estimates that global demand for sustainable fuels will reach

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030

To

nn

es p

er

an

nu

m

High scenario Low scenario BAU



760 million tonnes per annum by 2050, including almost 200 million tonnes for

aviation19

.

Figure 6.2 – Trajectory for UK sustainable fuel use to 2050 (million tonnes per year)

Photo Copyright Rolls-Royce 2014

19

IEA (2011) Technology Roadmap: Biofuels for Transport. Available from: http://www.iea.org/publications/freepublications/publication/Biofuels_Roadmap_WEB.pdf

0

1

2

3

4

5

2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 2050

Mill

ion

to

nn

es p

er

an

nu

m

High Trajectory Central Trajectory


http://www.iea.org/publications/freepublications/publication/Biofuels_Roadmap_WEB.pdf


Chapter 6

UK value in developing sustainable fuels

As the sustainable fuels industry grows there is potential for UK deployment to

deliver revenues and support UK jobs. And also for additional economic value to be

realised by UK-based businesses competing successfully in non-UK markets.

This section provides an estimate of the value to the UK of keeping pace with

international deployment of sustainable fuels to 2030.

Economic

benefits to the

UK.

Scenario analysis estimates that in 2030 there may be 90-160 operational

sustainable fuel plants globally; producing aviation fuels in combination with

fuels for road transport and other modes. Global revenue for these sustainable

fuel plants is estimated at £8-17 Billion in 2030.

There may be 5-12 sustainable fuel production plants producing 20-60%

sustainable fuels in combination with road transport fuels in the UK by 2030.

The potential value of the sustainable fuels industry to the UK is based on a

methodology developed in the context of the UK Department of Energy and

Climate Change’s Technology Innovation Needs Assessment.20

This

assessment uses global deployment figures to estimate the potential gross

value added (GVA) contribution to the UK economy for technology areas.

Turnover figures are calculated from global deployment scenarios and

expected technology costs. These are then converted to GVA figures based on

known turnover-to-GVA ratios for similar industries (e.g. basic manufacturing,

agriculture, high tech services, etc.) which range from 10-65%. Then the

proportion of the global market that might be accessible (or ‘tradable’) to UK

based companies is estimated. Finally, the proportion of the globally accessible

market that the UK can capture is estimated based on its competitive

advantage. The UK’s competitive advantage is graded from low to high, which

is used to estimate a percentage of the available market which the UK could

potentially be expected to take.

Development of a domestic industry for the production of sustainable fuels

could generate a gross value added (GVA) of £70-265 Million in 2030. To

realise these scenarios, the capital investment in production plant capacity

20

Low Carbon Innovation Coordination Group (2012) Technology Innovation Needs Assessment (TINA). Bioenergy Summary Report, Available from: www.lowcarboninnovation.co.uk/document.php?o=9


http://www.lowcarboninnovation.co.uk/document.php?o=9


required between 2020 and 2030 is estimated at £0.5-1.3 Billion. Equivalent to

£50-130 Million per year.

The successful development of a domestic industry is estimated to support

900-3,400 jobs: in plant construction and operation, feedstock supply and fuel

distribution, and the design and development of conversion technology

components and processing plants.

The successful capture of global sustainable fuel opportunities could generate

additional value for the UK. The value of global exports is estimated at £100-

220 Million in 2030 with the support of 500-1,000 jobs. The majority of the

value and jobs are in the supply of technology components and engineering

services related to the design and development of conversion technology

components and plants – since these are exportable, protectable through IP

and well aligned with the UK’s commercial strengths.

Figure 6.1 illustrates the total number of sustainable aviation fuel

announcements made between the period 2006 to 2013 as reported by the

International Civil Aviation Authority (ICAO).

The UK currently

represents a 2.8%

share of global

sustainable fuel

initiatives

Figure 6.1 – Global sustainable fuel project announcements between 2006 and 201321

21

ICAO (2013) Synthesis of GFAAF database – December 2013. [Online]. Available from: http://www.icao.int/environmental-protection/GFAAF/scripts/Multi-stakeholders.html


http://www.icao.int/environmental-protection/GFAAF/scripts/Multi-stakeholders.html


Chapter 7

Overcoming development barriers

At a glance

1. Scale up for new emerging technologies remains a challenge.

2. The UK should introduce coherent policy, incentives for investment, and

prioritised R&D and support for commercialisation projects to realise the full

potential of sustainable fuels.

3. Greater coordination for aviation fuels within Government and a specific

focus on aviation sustainable fuels needs to be prioritised.

4. Long-term goals with incentivised frameworks for sustainable fuels are

required to boost investor confidence and ensure the UK attracts inward

investment for sustainable transport fuel projects.

This analysis has estimated the potential contribution that sustainable fuels

may make to the aviation industry. The E4tech study outlines the importance

of the period to 2030 in establishing an industry for sustainable transport fuels.

Realisation of the potential outlined is dependent on overcoming barriers that

currently constrain the supply of sustainable fuels and the market demand or

pull.

Both the central or high scenarios presented in chapter 6 require a

combination of conversion technologies, which utilise a range of feedstock.

These conversion technologies are at different stages of development, and

therefore the Road-Map must recognise the need to overcome demand side

barriers, which currently limit the volumes of sustainable fuel used in aviation;

and supply side barriers that will continue in influence the production capacity

and availability. This chapter outlines the most significant barriers to the

increased production and use of sustainable fuels, and identifies the most

pressing actions for UK Government and industrial stakeholders to enable

increased uptake of sustainable fuels.

The emissions savings and economic benefits of sustainable fuels can only be

realised if steps are taken to actively promote and support their development.

Members of SA are playing a leadership role in accelerating the development

and commercialisation of these fuels. This includes coherent policy, a level

playing field, incentives for investment and prioritised R&D and support for

commercialisation of projects.



Early stage

technologies and

barriers to

development

The aim is for

these fuels to

become cost

competitive with

fossil fuels.

7.1 Economic barriers

As with all emerging technologies, there are significant initial barriers to

commercialisation. In the near term sustainable fuel pathways are not

economic in their own right and carry with them material first-of-a-kind

technological risk for investors and developers. Support is needed to reduce

investor risk in bringing the technology to commercial scale, to stimulate

market demand in the medium term while production costs are high, and to

level the playing field with fuel incentives in other sectors. Over the long term,

support can be scaled back as the fuels must become competitive without

intervention.

The cost of currently available sustainable fuels are reported to be

considerably higher than fossil fuel, for example HEFA (the only fuel currently

produced on a commercial scale today) is reportedly 2.5 times the cost of

fossil fuel. There is potential for products at an earlier stage of development to

reduce production costs as production is scaled up and optimised (especially

those derived from wastes/residues.) In the immediate term appropriate

support mechanisms are required to enable process scale-up and optimisation,

and reduce production costs.

Figure 8.1 – Enabling Sustainable Fuels Production by De-Risking Investment

Fuel costs account for 30-50% of the operating costs for the aviation industry,

and the ability of airlines to absorb an increase in fuel price is very limited.

Therefore, to remain an effective option, sustainable fuels must become

economically viable and cost competitive over the long-term compared to fossil

fuel plus carbon costs in the short-term however, before scale up occurs, a

price disparity may occur and additional short-term support is required to

ensure that continued development of these critical technologies is pursued.



7.2 Policy barriers

There are a number of non‐economic barriers relating to factors that either

prevent deployment altogether or lead to higher costs than necessary or

distorted prices. These barriers may be related to a lack of, or, distortions in

policy support. They can also relate to a lack of expertise in developing new

technologies or a lack of public acceptance. The main barriers affecting the

deployment of sustainable fuels are described here.

The strength of the market pull is of immediate importance as a number of

conversion technologies are looking to progress from demonstration to

commercial scale production. In the UK and across Europe policy mechanisms

generally drive use of sustainable fuels in the road transport sector, as

mandates and incentive mechanisms create the market for investment.

Immediate action is needed to create a level playing field between aviation and

other markets for sustainable fuels.

In part as a result of this inequality in policy support, aviation appears to be a

low priority for UK policy makers, despite recognition at a strategic level of the

long term need for sustainable fuels in aviation. Currently there is no specific

focus in the Department for Transport on the role of sustainable fuels for the

aviation sector. This situation creates a perception that may undermine the

commitments made by the aviation industry, and lead to missed opportunities

to reduce GHG emissions in transport. The Bioenergy Review22

published by

the Climate Change Committee pointed to the need to prioritise the use of

bioenergy for aviation in the period to 2050.

Present policy uncertainty throughout the EU and the UK is damaging investor

confidence. Without adequate targets for advanced transport fuels to 2030

investments in domestic production capacity will cease. Long-term policy

certainty and a focus on instruments that de-risk investment are needed.

Long-term goals for sustainable fuels together with an incentive framework to

stimulate investment send an important signal to the investment community

and to project developers.

7.3 Financing barriers

The supply of sustainable fuels is limited by delays in the progression of

conversion technologies from demonstration to commercial production. The

main barriers to development relate to project finance and risk.

Global factors have reduced the availability of various forms of project finance

over the last five years. The UK banking sector is currently averse to providing

debt finance to high risk projects, as the criteria and terms have typically

shortened, and as a result payback hurdle rates cannot be achieved by the

majority of sustainable fuels projects. Venture capital investment has also

declined in Europe, as the US is currently seen as a more attractive market for

investors.

The risks associated with sustainable fuel projects inherently affect the

22

Climate Change Committee (2011) Bioenergy Review. Available at: http://archive.theccc.org.uk/aws2/Bioenergy/1463%20CCC_Bioenergy%20review_bookmarked_1.pdf



availability of project finance and the associated terms. One of the main issues

impacting project risk is the price and competing uses of feedstock which can

represent 50-90% of production costs, and project returns are therefore highly

sensitive to feedstock price variations. Competition for feedstock with energy

and non-energy sectors is likely to grow and whilst high demand will stimulate

increased production of sustainable feedstock, this variability adds to project

risk.

Technology push will also be important if the UK economy is to take advantage

of the demand for new technologies and intellectual property. For new

technologies, the scale up of production volumes and reference plant data

(obtained by demonstration at scale) is necessary to reduce the risk of

commercial scale development. However, securing the investment required to

support these stages of development is a major barrier. The EU23

has

previously supported the development of first-of-a-kind biofuel plants through

FP7, NER300 and EIBI, and will continue to do so through Horizon 2020.

Experience from the NER300 call has demonstrated that successful funding

applicants are still undergoing significant challenges including a lack of fuel off-

take agreements. In addition, the terms associated with Horizon 2020, may

limit the suitability of the scheme to leverage the level of investment needed.

7.4 Technical barriers

Fuel qualification and certification is necessary to ensure continued high levels

of safety in the aviation industry. This demands high levels of investment from

both airframe and engine manufacturers. To date, engine and airframe

manufacturers have responded strongly to the requirement to test and approve

new fuels. As a result three synthetic fuel pathways i.e. BTL, HEFA & SIP are

approved under ASTM D7566, and others are in the process of approval.

Previous technical approvals of new fuels have been facilitated by a significant

investment and testing done by the US Department of Defence. The budget for

this work has been reduced and the engine and airframe OEMs do not have

sufficient resources (funding) to do the level of testing previously supported by

the US Department of Defence. This will inevitably reduce the amount of

testing carried out and the availability of future fuels. This may act as an on-

going barrier to the development of new fuels and conversion routes.

23

EU has supported a number of funding instruments including the Framework Programme funding, New Entrant Reserve (NER) fund and the European Industrial Bioenergy Initiative (EIBI)



Chapter 8

Enabling sustainable fuels in the UK

At a glance

1. SA believes a specific focus on aviation fuels is needed to establish an

advanced aviation fuels sector in the UK and recommends the establishment

of a public-private sector initiative.

2. Policy equivalence with other advanced fuels is necessary to ensure

investment in sustainable fuels production. In the short term this can be

achieved by allowing sustainable fuels to “opt in” to the Renewable Fuels

Transport Obligation.

3. SA welcomes the UK Government’s announcement of a £25 million funding

support for the development of novel advanced fuels technologies.

4. The military procurement policy for sustainable fuels can help de-risk the

investment case – as in the case of the USA “green fleet” programme – and

should be considered by the UK Government.

5. R&D funding programmes should prioritise technology pathways with the

highest probability of reaching commercial scale and the most effective

means to reduce greenhouse gas emissions.

The need for

long-term stable

policy for

advanced fuels.

8.1 Policy certainty

The present RTFO structure officially extends to 2020, providing project

developers no policy certainty beyond this date. The policy for renewables in

the EU beyond 2020 also fails to provide policy certainty. Therefore we call on

the UK Government to articulate long-term goals for sustainable fuels and

establish an incentive framework to stimulate investment, sending an important

signal to the investment community and to project developers. Without

adequate targets for advanced transport fuels to 2030 investments in domestic

production capacity will cease. Long-term certainty and bankability of policy

incentives are needed.

We welcome the Government’s recent announcement on the appointment of a

Bio Economy Champion to establish a cross-Government Steering Group. We

look forward to engaging with this process and with the UK Department for

Transport to develop a clear strategy to 2030 and beyond for transport fuels,

including aviation. We believe that a single point of contact should be

established for sustainable fuels in order to align UK Government departments,



policies and action.

We recommend the establishment of a public–private sector initiative to enable

sustainable fuels. The taskforce should be low cost and agile, building on the

experience of existing initiatives such as CAAFI in the USA. This partnership

could also enable opportunities for making direct strategic investment. We

already have experience as an industry of successful collaborative

programmes which have been springboards for new technology development,

skills development and training.




Policy support for

aviation within the

existing

Renewable

Transport Fuels

Obligation.

.

Achieving a level

playing field with

other fuels is

essential.

8.2 Market incentives

The UK RTFO is a blending mandate (obligation) to fuel suppliers of road

transport fuels to meet renewables commitments specified in the EU

Renewable Energy Directive. The RTFO provides a market incentive to the

producers of road transport fuels in the form of RTFCs, worth 200 – 300 USD

per tonne of fuel. This currently has the effect of dis-incentivising investment in,

and production of, sustainable aviation fuels because they are not eligible

under the RTFO.

Thus we believe that aviation fuel suppliers should be eligible for market

incentives in the form of Renewable Transport Fuel Certificates (RTFCs) that

are currently awarded to qualifying road transport fuels under the UK

Renewable Transport Fuel Obligation (RTFO), but without directly obligating

them in the system. The effect of this incentive is to reduce effective production

costs, providing investors and suppliers with confidence to invest and to

produce the fuels when costs would otherwise have been uncompetitive.

By extending eligibility to aviation fuel suppliers, the incentives playing field

would be levelled with road fuels, without the need to extend the obligation to

those suppliers. This approach is already being successfully pursued in the

Netherlands and the USA. In the UK, this option could be implemented by a

straightforward extension of the RTFO, with no implications for additional

costs to road fuel suppliers, road users or government.

If a mandate was applied directly to aviation fuel without consideration of

market distortions, then competitive imbalance and carbon leakage24

would

result. This would happen if, for example, the UK were to impose an obligation

on all aviation fuel uplifted to flights from the UK. The result would be an

increase in the cost of fuel for UK based airlines above the cost faced by

competitor airlines in the same markets.

Where an obligation can be applied without causing market distortions, it might

be considered as a future policy option to support the development of

sustainable fuel.

Whilst a zero rating for eligible fuels in the EU Emissions Trading System (EU

ETS) is welcome, it only provides a very modest market incentive that does not

make a material difference to investment decisions.

In the US, the Department of Defence has been playing a significant role in

stimulating the development of sustainable fuels by creating market demand.

The UK Government should consider how the military procurement policy for

sustainable fuels can help to de-risk the investment case, as in the case of the

USA “green fleet” programme for example.

24 Carbon leakage is the term often used to describe the situation that may occur if, for reasons of costs related to climate

policies, businesses were to transfer production to other countries which have weaker constraints on greenhouse gas emissions. See http://ec.europa.eu/clima/policies/ets/cap/leakage/index_en.htm for details.


http://ec.europa.eu/clima/policies/ets/cap/leakage/index_en.htm


Investment

support is needed

for first of a kind

technologies.

8.3 Investment incentives

SA welcomes the Department for Transport’s £25 million grant for

demonstration scale advanced fuel plants as a positive first step. If the UK is to

lead innovation and development of advanced fuels technology and an

exporter, rather than importer, a more focused approach to sustainable fuels

will be required to build on the UK’s competitive advantage in relevant areas of

science and technology.

Development support through the provision of grants and equity co-investment

are needed to reduce investor risk in funding demonstration plants. The Green

Investment Bank (GIB) can play a key role in helping initial commercial scale

production plants become established through the provision of financial

support that reduces investor risk through for example loans and loan

guarantees. At present, the GIB has a limited role in this area. Also there is

no obvious source of development funding within the EU to provide

development support. Even if it becomes available, in the absence of long-term

policy support it is of limited use. A number of EU projects have been

cancelled or delayed over concerns that there is insufficient policy support to

provide a long-term market for advanced fuels.




Research and

development.

8.4 Research and development (R&D)

The priority given to innovation into sustainable fuels should be reviewed. R&D

is being pursued around the world to demonstrate new feedstock sources and

processing technologies with the aim of reducing fuel costs and broadening the

range of supply chain opportunities. The pace of development has been rapid

with US-based companies playing a notable role. There are significant market

failures during innovation and action by the public sector been critical to

advancing the sustainable fuels industry.

In the UK the government has been funding some selected cross-department

work through bodies including the Research Councils, the Carbon Trust and

the Centre for Process innovation (CPI) involving research into feedstocks and

development of conversion technologies. Bioenergy research support has

been limited but we understand that the Biotechnology and Biological Sciences

Research Council (BBSRC) is seeking to provide more funding in the future.

The Department for Transport has also announced its intention to issue a call

for proposals for demonstration scale advanced fuel plants. However, currently

none of this work is focused on the production of aviation fuels.

Pyrolysis oils and gas capture of waste carbon gases from industrial processes

also have potential in the UK. In order to result in commercial solutions,

funding programmes should prioritise those technology pathways that have the

best chance of reaching commercial scale, by using sustainable feedstock and

processes that produce scalable solutions at cost parity with fossil fuel.

A stronger innovation focus could contribute to re-balancing the UK economy

through the nurturing of new businesses and the stimulation of employment

and technology export opportunities. Establishing a government-industry

initiative could be a key first step to developing a more focused approach.

The industry’s

commitments.

8.5 The role of industry

Sustainable Aviation signatories and other industrial stakeholders have key

roles to play in overcoming development barriers, in particular those relating to

project risk, and also project finance. Sustainable Aviation members have

demonstrated the importance of effective partnerships with technology

companies, and a continuation and expansion of these activities is required.

Opportunities to reduce project risk include ensuring contracts spread risk in an

appropriate way across the supply chain, including Engineering Procurement

Construction (EPC) services, feedstock supply contracts, and fuel off-take

agreements. Airlines and airports have a role to play in establishing fuel off-

take agreements. Joint purchasing agreements may have an additional benefit

to fuel producers by decreasing project risk, and increasing the availability of

off-take contracts (on a fuel volume basis), as it enables small airlines to

participate who may otherwise find this challenging. The development of

purchasing groups may provide an opportunity for fuel users to share the

associated cost and risk, and to hedge the risk of higher prices.



The role of

government

The sustainable aviation fuels industry is at an early stage of development and

therefore strategic investors have an important role to play in providing project

finance. Strategic investors may include public sector organisations and also

industry stakeholders with a vested interest in sector growth. The scale of

investment required for early commercial projects is large, and there will be a

limited number of actors able to make such contributions to project financing.

However, in the short term these strategic investments are being demonstrated

as being vital to technology development.

The development of sustainable fuels requires the concerted efforts of actors

across the supply chain, as demonstrated by the ASTM fuel testing

programmes. Sustainable Aviation brings together the main players from UK

airlines, airports, manufacturers and air navigation service providers, to set a

collective approach towards ensuring the sustainable future of the industry.

However, additional action is required to bring together a wider collection of

stakeholders including sustainable fuel producers, researchers and

representatives from UK Government to specifically focus on the issues

effecting sustainable fuels and ensure the delivery of this Road-Map.

BIS, DfT and the CAA should play a central role in the interaction between the

sector and government. Existing successful collaborative programmes

involving BIS and the aerospace sector to the need for a public-private

approach.



Chapter 9

The Sustainable Aviation fuels Road-Map

This Road-Map uses a different approach from its predecessors: CO2 and noise. This

is necessary as fuel/carbon efficiency and noise are already part of an established

international regulatory regime and there is greater certainty about technology

development over the period to 2050. In the case of sustainable fuels, much

depends on how emerging technology deployment is supported. There is great

potential for an advanced fuels industry able to meet the demands of modern

aviation and to serve those other sectors dependent on liquid hydrocarbons for the

medium term (e.g. freight.) ICAO has established a global Advanced Fuels Task

Force to estimate the technical potential of these fuels. They are also working on

the harmonisation of international sustainability standards and criteria.

The opportunities

for the UK

Applying this to

the CO2 Road-

Map

9.1 The Road-Map

This Sustainable Aviation Fuels Road-Map has explored the opportunities for

reducing UK aviation carbon emissions through the use of new and rapidly

evolving, sustainable sources of fuel. There is a role for aviation in supporting

the transition to more sustainable pathways using wastes, residues and low

value feedstock in the short-medium term. In the longer term as more novel

feedstock e.g. waste gases, algae are developed and move to larger scale

production, we expect this opportunity to expand.

Future fuels offer the opportunity to achieve high greenhouse gas savings (in

the range 60-95%) over the emissions associated with fossil fuel equivalents.

One aspect highlighted by the work shows the critically important role that

sustainable fuels development will play in the period to 2030. Without this

early policy support, the technologies needed post 2030 will not be technically

proven and scale up will be slow.



Figure 9.1 – Sustainable fuel production in UK

SA’s early estimates assumed a very gradual steady increase in the use of

sustainable fuels to 2050. However, the outcome of this study illustrates that

early volumes will be fairly modest to 2030 with a more rapid ramp up of

production beyond this date. It may be necessary to redraw the sections of the

CO2 Road-Map to properly reflect this. The Road-Map will need to be

reviewed as new sustainable fuels pathways are constantly evolving.

We predict a range of technologies will be deployed globally but with respect to

the UK we see waste derived fuels as the primary opportunity in the short-

medium term.

Timeframe Technology pathway Feedstock

UK

production

potential

To 2020 Biomass to liquid Mixed MSW High To 2020 HEFA Waste oils* Low To 2020 Alcohol To Jet Waste gases High To 2020 Green diesel Waste oils* Low 2020 – 2030 Alcohol To Jet Lignocellulosic Med 2020 – 2030 Pyrolysis oils Mixed MSW High 2020 – 2030 Co-processing Wastes oils*/pyrolysis Med 2020 – 2030 SIP Sugars/LC materials Med 2030 – 2040 Novel Hydro routes Waste oils* Low/med 2030 – 2050 HEFA Algae Unknown 2030 - 2050 Biotech conversion Waste gases Unknown

SA members are working on oil feedstock production models that prevent ILUC

– for example Camelina production on contaminated land. If these methods

are found to be successful we expect greater volumes of sustainable oil

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

2020 2030 2040 2050

Million tonnes per annum

BAU Low scenario High scenario

Central trajectory High trajectory



feedstock in future.

These projections are consistent with recent estimates from the International

Energy Agency who predicted sustainable fuels production of 27% of transport

fuels in 2050. The IEA BLUE Map Scenario estimates that global demand for

sustainable fuels will reach 760 million tonnes per annum by 2050, including

almost 200 million tonnes for aviation25

.

9.2 Conclusions

As a result of reviewing the current, new and emerging sustainable fuels

market this Road-Map has determined that, with the right policy and

investment framework UK aviation can reduce its CO2 emissions by up to 24%

by 2050. Achieving this result will require a step change in the current policy

and investment framework for sustainable aviation fuels and SA welcomes the

opportunity to collaborate with Government to establish the UK as a leader in

this exciting new industry.

A stylised graph summarises the work of this Road-Map on the following page.

Photo Copyright Rolls-Royce 2014

25

IEA (2011) Technology Roadmap: Biofuels for Transport. Available from: http://www.iea.org/publications/freepublications/publication/Biofuels_Roadmap_WEB.pdf


http://www.iea.org/publications/freepublications/publication/Biofuels_Roadmap_WEB.pdf


Chapter 10

How we answered you

In July 2014 SA published “Fuelling the Future’ A discussion paper”, which set

out our initial thoughts on sustainable fuels for UK aviation. This was followed

by a consultation with a range of stakeholders until mid-October. As a result a

number of stakeholders provided comments on the Road-Map, either by

submitting written responses or through face to face meetings. Sustainable

Aviation wishes to thank all those who have contributed to the Road-Map. A

summary of the main comments is provided below.

10.1 Political Stakeholders

During September and early October SA met with a wide range of politicians

and party members from the Conservative, Labour and Liberal Democrats

during their autumn party conferences. We sought their views on the Fuelling

the Future discussion paper and views on the potential for a public-private

initiative going forwards.

The feedback was broadly supportive of a public-private initiative, but there

were a range of queries on the detail of how the initiative would work. SA

agreed to continue the discussions with the political parties and government

regarding these moving forward.

A range of additional issues were raised, but by far the largest issue was ILUC

concerns from the production of feedstocks for fuels. During the discussions

we explained the fuels we are looking to develop focus on feedstocks that

minimise ILUC risk. There was broad support and interest in the new waste

and residues pathways. On the matter of potential changes to future policy on

fuels and how to de-risk future investment there was universal support to

continue the conversation with a desire to better understand the specific

issues and how they could be resolved.

10.2 Non-Government Organisations (NGOs)

SA met representatives from both Greenpeace and WWF-UK in October and

following brief discussions concerns about ILUC and any residual waste

products were raised. SA agreed to follow up with both organisations to

explore their concerns in more detail.

Section 2.3 summaries the key issues raised with SA during the consultation

and where we have addressed these in this Road-Map.



10.3 Summary of main response themes

Topic Comments Road-Map Section

Assumptions

within E4tech

analysis

Some commentators queried the

methods used to calculate

Gross Value Add and more

explanation has now been

added to the document.

See chapter 7.

Economics and

cost of initial

capacity

An estimate of the levels of

investment required to deliver

the capacity outlined in the 2030

estimates was requested.

See chapter 7 for an

estimate of required

levels of investment.

Public-Private

Initiative

An indication of the potential

membership and organisation

for the group needs

development as a basis for

ongoing discussion.

To be developed in

consultation with key

stakeholders.

Equity

investment

What is deterring investors in

this space?

See chapter 8.

Fossil refining

in the UK

Will bio refining displace fossil

and will jobs be displaced from

the traditional refining industry?

This has been

accounted for by the

Technology Innovation

Needs Analysis. See

chapter 7.



Appendix 1

UK aviation’s socio-economic value

26

Oxford Economics (2014) Economic Benefits from Air Transport to the UK. Available at: http://www.aoa.org.uk/2014/11/new-report-shows-uk-aviation-contributing-52-billion-in-overall-gdp-960000-jobs-and-8-7-billion-in-taxation/

UK aviation

contributed £49 Billion

GBP to UK GDP in

2011

Aviation brings economic benefits to society as a whole and to the UK in

particular, supporting trade, investment and employment. In 2011, the

combined activities of airlines, airports, ground services and aerospace directly

contributed £52 Billion GBP to UK GDP and £8.7 Billion GBP to UK tax

revenues whilst directly supporting 960,000 jobs in the UK. The aviation

sector’s supply chain contributed a further £16.6 Billion GBP to UK GDP in the

same year according to the Oxford Economics 2014 study of the economic

benefits from air transport in the UK.26

UK’s aerospace

manufacturing sector

alone employs

105,000 people

The UK’s aerospace manufacturing sector is the world’s second largest,

directly employing 105,000 people and directly generating £10.3 Billion GBP of

UK GDP in 2009, with a further £7.6 Billion GBP of UK GDP being generated

by the aerospace sector’s supply chain. The sector brings further economic

benefits through the generation of intellectual property which frequently has

spin-off benefits in other sectors.


http://www.aoa.org.uk/2014/11/new-report-shows-uk-aviation-contributing-52-billion-in-overall-gdp-960000-jobs-and-8-7-billion-in-taxation/

http://www.aoa.org.uk/2014/11/new-report-shows-uk-aviation-contributing-52-billion-in-overall-gdp-960000-jobs-and-8-7-billion-in-taxation/


Appendix 2

SA members’ work to support sustainable fuels

6 revolutionary

demonstration flights

using sustainable

fuels have been

conducted between

February 2008 and

June 2013

A2.1 Successful trials and demonstration flights

Over recent years, the industry has been heavily involved in:

1. Evaluating more sustainable replacements for fossil fuel

2. Characterising their sustainability profile plus physical and chemical

properties

3. Testing their performance in flight and on the ground

Beyond the extensive and rigorous laboratory and ground fuel rig scale testing

efforts to approve advanced fuels, SA members have also participated in

several different programmes to research and demonstrate the potential of

sustainable fuels. For example, a number of flight demonstrations have been

carried out, generating additional data for fuel certification approval and

highlighting the potential of the fuel for commercial use:

Feb 2008

Airbus A380 gas-to-liquid (GtL) Filton to Toulouse using 50% blend in one

engine. This was completed to support the ASTM approval process for GtL and

FT fuels generally (including BTL).

Feb 2008

Virgin Atlantic/Boeing undertook the first biofuel ‘proof of concept’

demonstration flight using a commercial aircraft, using sustainably sourced

coconut and babassu oils as feedstocks.

Dec 2008

Air New Zealand / Rolls Royce/ Boeing conducted a demonstration flight using

50% jatropha-based HEFA.

Oct 2011

Thomson Airways first commercial biofuel flight by a UK operator, operating

from Birmingham to Arrecife using a blend of 50% biofuel, sourced from used

cooking oil (UCO) in one engine.

Jun 2012

Airbus (A319) and Air Canada complete world’s first international Perfect flight

from Toronto to Mexico City

Jun 2013

Airbus, Air France, Safran and Total organised the “Joining Our Energies –

Biofuels Initiative France” demonstration flight on an Airbus A321 (SIP Fuel

blend) with sharklets to illustrate the French industry’s capacity to integrate

sustainable fuels.



British Airways has

committed to

converting half a

million tonnes of

waste into sustainable

low-carbon fuels

through the launch of

GreenSky London.

A2.2 British Airways sustainable fuels activities

GreenSky London is a British Airways (BA) flagship project to construct an

advanced fuels facility that will annually convert around 500,000 tonnes of

waste into a number of sustainable low-carbon fuels – including aviation fuel.

The new plant will be sited at Coryton, Essex which was the site of a fossil

refinery until 2012. The location east of London on the Thames estuary has

excellent transport and distribution links and is close to large volumes of waste.

The project will use high temperature gasification to convert low-value residual

waste (i.e. material that is presently going to landfill) into a renewable

biosynthetic gas: or “BioSynGas”. The BioSynGas will then be cleaned and

passed through a Fischer-Tropsch unit to produce low carbon fuels; yielding

50,000 tonnes each of sustainable fuel and green diesel and 20,000 tonnes of

bio-naphtha.

Figure A2.1 – Low carbon fuels process

The self-sufficient process will produce the electricity required to power the

plant. As well as the low-carbon fuels produced, bio-naphtha can be used to

make renewable plastics or blended into other fuels. The process also

produces a solid aggregate-type material that can be used in construction and

road building.

Detailed front end engineering and design (FEED) work is now underway and

is being led by Fluor who are one of the world’s biggest Engineering,

Procurement and Construction companies. A number of technology partners

have been selected including Honeywell UOP and Velocys (suppliers of the

Fischer-Tropsch reactor).

The sustainability benefits of this fuel are wide ranging: using waste avoids the

indirect land use change impacts associated with many crop-based sustainable

fuels. In addition, the fuels produced are extremely clean burning and provide

air quality benefits as the fuels emit very low levels of particulates. The final

fuel is projected to deliver greenhouse gas savings of more than 60%



British Airways has

committed to the

purchase of $500

Million USD worth of

sustainable fuels

through GreenSky

London alone

compared to fossil fuel.

British Airways has committed to buying the sustainable fuel produced by the

plant for 10 years, equating to $500 Million USD at today’s prices. BA will also

be an investor in the project. The British Airways off-take agreement

represents the largest advanced sustainable fuel commitment made to date by

an airline.

The British Airways and Solena partnership project represents a significant

investment in new green technology in the UK. It will provide an innovative

sustainable green energy and low-carbon fuel solution for the UK’s aviation

sector. GreenSky London has signed an exclusive option on a site for the

facility, and consent work for the site has begun. The facility will create over

150 operational jobs, and 1,000 construction positions.

Barclays has been appointed as advisor to explore the funding opportunities

through export credit agencies. A Competitive Letter of Interest has been

obtained from an agency and includes associated term funding. Construction

is due to commence late in 2014 and we anticipate that fuels will be produced

from 2017.

For more information visit:

http://responsibleflying.ba.com/whats-new-archive/ba-sustainable-fuel-project-

greensky-lands-in-essex/

Virgin Atlantic and

Lanzatech have

secured RSB

approval for their first

production plant in

China

Virgin Atlantic and

Lanzatech scalable

technology has the

A2.3 Virgin Atlantic’s sustainable fuel activities

In 2008, Virgin Atlantic was the first airline to conduct a biofuel test flight - a

ground breaking initiative that challenged the status quo. In October 2011 they

announced their partnership with Lanzatech to pioneer the first of the next

generation of low carbon fuels. Their technology uses a microbe to convert

waste carbon monoxide gases from steel mills (which would otherwise be

flared off direct to the atmosphere as CO2) into ethanol. The alcohol is then

converted to aviation fuel through a second stage process. Initial Life Cycle

Analyses (LCAs) suggest that the resulting sustainable fuel will emit 60% less

carbon than the fossil fuel it will replace, fossil fuel. Moreover, because it uses

a waste-stream, the sustainable fuel produced does not impact on land use or

food production.

The process is also expected to improve local air quality in the vicinity of steel

plants by reducing emissions of nitrogen oxide and other particulate emissions.

In 2012, Lanzatech successfully established two demonstration level ethanol

facilities in China, with a capacity of 100,000 gallons of ethanol per year. The

biofuel plant near Beijing was the first RSB-certified facility in China, and the

first certification of its kind anywhere for industrial carbon capture and

utilisation.

The technology is scalable. The first plant in China will produce enough fuel for

Virgin Atlantic to uplift all of its fuel out of Shanghai as a 50:50 mix with fossil

fuel, with plenty left over for other customers. In addition, Lanzatech estimates



potential to alone

provide up to 19% of

global aviation fuel

demand

that its process could apply to 65% of the world's steel mills, offering the

potential to provide up to 19% of the world's current aviation fuel demand.

The current focus is on working hard to see the technology through to

commercial use in aircraft and in October 2014, HSBC joined the partnership.

The addition of HSBC’s vital support along with Boeing and other technical

partners means a proving flight, as a key step towards technical approval, of

the new technology will take place within the next year.


http://www.virgin-atlantic.com/gb/en/footer/about-us/sustainability/carbon.html

Airbus has a proven

track-record of

proactively building

international

partnerships and

research projects to

successfully tackle

the challenges of

sustainable fuels

A2.4 Airbus’ sustainable fuel activities

Airbus’s sustainable fuel strategy is focused around three central principles:

1. To support certification and qualification of new sustainable fuel pathways,

to ensure compatibility with existing and future Airbus product policy

Support qualification campaigns, support and promote fuel

approval within International aviation fuel certification and

specification bodies.

Anticipate the evolutions of fuels within future designs.

2. To support the aviation market as well as innovation and local partnerships

all around the world.

3. To support policy and standard making bodies, to promote sustainable

fuels for aviation.

Airbus’s strategy is managed around the world through partnerships, research

projects and engagement in aviation fuel specification bodies:

Airbus actively participates in international fuel specification committees Def

Stan 91-91 and ASTM D1655. Airbus in collaboration with associated engine

OEMs and other airframe OEMs has assessed and approved the three

sustainable fuel pathways that have been approved already and continues to

assess the compatibility all new sustainable aviation fuel pathways to facilitate

the development of a sustainable aviation fuel industry.

Airbus actively promotes the use of the RSB sustainability standard for all its

projects some of which are identified below.

2012: In 2012, Airbus launched its collaboration with Tsinghua University in

China to complete a sustainability analysis of Chinese feedstocks and to

evaluate how best to support the development of a Chinese value chain to

speed up the commercialization of sustainable fuels. Furthermore, a Perfect

Flight was completed by Airbus and Air Canada in 2012, bringing together all

best practices including operational, maintenance, air traffic management and

the use of sustainable fuels to achieve an over 40% reduction in CO2

emissions on a commercial flight from Toronto to Mexico City.

2013: Following the successful partnership with Air Canada in 2012, 2013 saw

the launch of an initiative with BioFuelNet Canada and Air Canada to assess


http://www.virgin-atlantic.com/gb/en/footer/about-us/sustainability/carbon.html


Airbus firmly believes

strong support from

UK government will

be pivotal in ensuring

sustainable fuels are

commercially

competitive with fossil

fuels at a global level

the solutions in Canada for the production of sustainable fuels for the Canadian

aviation market. Airbus also came together in 2013 with Air France, Total and

CFM to perform a demonstration flight (French initiative “joining our energies”)

at Le Bourget Air Show using an Airbus A321 with fuel efficient sharklets and

sustainable JET A-1 fuel from Total/ Amyris produced through an innovative

conversion of sugar (SIP process producing Farnesane). Further collaborations

launched in 2013 included a cooperation agreement between Airbus and

Rostec group in Russia to launch a large-scale analysis of Russian feedstock

and to evaluate how to speed up the development and commercialization of

sustainable fuels in the region.

2014 and beyond: Airbus established a Malaysian Centre of Excellence to

assess local solutions for sustainable bio-mass production in Malaysia. The

aim is to determine the most suitable feedstocks to ensure that any future

aviation fuel production in the region is based only on sustainable solutions.

The first assessment is expected to be completed by December 2014. Airbus

is also working closely with the EU commission through ITAKA (Initiative

Towards sustAinable Kerosene for Aviation). This collaborative project is

framed in the implementation of the European Union policies specifically and

aims to contribute to the short-term (2015) EU Flight Path objectives.

Airbus believes a key element of the development of sustainable fuels for

aviation is political support and frameworks to ensure optimization, financial

investment and development of sustainable fuels in an economically, socially

and environmentally sustainable manner while improving the readiness of

existing technology and infrastructures.


http://www.airbus.com/innovation/eco-efficiency/operations/alternative-fuels/


http://www.airbus.com/innovation/eco-efficiency/operations/alternative-fuels/


Boeing are working

closely with their

customers and

stakeholders to meet

their goal of

sustainable biofuel

serving at least 1% of

global aviation fuel

demand by 2016

Boeing have lead

work on the “drop-in”

use of green diesel as

a price-competitive

aviation biofuel with a

current potential

production capacity of

800 Million gallons

A2.5 Boeing’s sustainable fuel activities

Boeing is committed to take action to protect the environment and support the

long-term sustainable growth of commercial aviation. As part of this

commitment, Boeing is leading industry efforts worldwide to develop and

commercialize sustainable aviation fuels, which emits 50-80% less carbon

dioxide on a lifecycle basis than fossil fuel.

Boeing’s goal is that by 2016, sustainable fuel will meet 1% (600 million

gallons) of global aviation fuel demand, and we believe this goal can be met.

Boeing works proactively with customers and other stakeholders to identify and

develop sustainable feedstocks and approve new fuel pathways that will

expand aviation biofuel supplies globally and regionally.

Boeing’s long-term intent is not to predict winners in feedstocks or fuel

pathways, but to identify candidate biomass sources that can be grown,

harvested and processed sustainably and at a price point that is competitive

with fossil- fuels.

Boeing led the aviation community’s effort in 2011 to include a blend of up to

50% of sustainable fuel produced through the HEFA (hydroprocessed fatty

acid esters and free fatty acid) process in international aviation fuel

specifications ASTM D7566 and UK MoD DEF STAN 91-91. This approval was

based on several years of research and testing conducted by Boeing, our

customers and others throughout the aerospace industry. Since then, airlines

around the world have flown more than 1500 regularly scheduled commercial

flights using a blend of fossil and sustainable fuels.

In 2014, Boeing was the first to propose the direct, “drop-in” use of green

diesel – a renewable diesel fuel used mainly today for road transport – as a

price-competitive aviation biofuel. Green diesel, made sustainably from plant

oils and waste animal fat, has production capacity of 800 million gallons in the

US, Europe and Asia that could rapidly supply 1% of global aviation fuel

demand. The price of green diesel, including incentives from the US and other

governments, is about the same (approximately $3 USD/gallon) as fossil fuel.

Boeing is working with the US Federal Aviation Administration (FAA), engine

companies, green diesel companies and other stakeholders on testing and

approvals to bring this new source of sustainable fuel to fruition.

Boeing also has active sustainable fuel development projects on six continents

and in many countries, including the United States, Europe, China, the Middle

East, Southeast Asia, Brazil, South Africa and Australia. In particular, we work

closely with airlines, research institutions, governments and others to develop

regional sustainable fuel supply chains using a variety of sustainable

feedstocks. We are proud to partner with many of our customers in this effort,

including United Airlines, Alaska Airlines, Etihad Airways, KLM, South African

Airways, Air China, Gol and AeroMexico. Our sustainable fuel supply chain

efforts include:



UAE: Boeing and Etihad Airways fund the Sustainable Bioenergy Research

Consortium (SBRC), which is hosted by the Masdar Institute of Science and

Technology, to research and develop the efficient use of halophytes fed by

seawater to produce sustainable fuel.

China: Boeing collaborates with the Commercial Aircraft Corp. of China to

research ways to efficiently turn waste cooking oil, often called “gutter oil,” into

sustainable fuel.

Brazil: Boeing partners with Gol, Embraer and others on alcohol-to-jet fuel

conversion technologies, as well as how to establish a sustainable fuels

industry.

Southeast Asia: Boeing collaborates with the Roundtable on Sustainable

Biomaterials (RSB) to assess opportunities and challenges for smallholder

farms to produce sustainable fuel feedstocks.

United States: Boeing partners with United Airlines, Honeywell UOP and

others to develop a sustainable fuel supply chain using leftover corn stalks and

leaves from Midwestern farms.

Boeing also was a co-founder in 2008 of the Sustainable Aviation Fuel Users

Group (SAFUG), a group of 28 leading global airlines, industry leaders,

environmental organizations and fuel technology leaders. SAFUG, which

accounts for more than 33 percent of annual commercial aviation fuel use, is

committed to develop sustainable fuel, without adverse impact to greenhouse

gas emissions, local food security, soil, water and air. Through SAFUG,

aviation became the first global transportation sector to voluntarily promote

acceptance of sustainability practices into its fuel supply chain.

Regional sustainable fuel efforts supported by Boeing utilize principles

established by the international Roundtable on Sustainable Biomaterials (RSB)

to evaluate these issues. These sustainability principles address greenhouse

gas emissions, local food security, conservation, soil, water, air, and

technology, inputs and waste management.


www.newairplane.com/environment/


http://www.newairplane.com/environment/


Appendix 3

Technology

Figure A3.1

represents

technologies being

developed to produce

sustainable fuels

A3.1 Technologies and standards

There are a number of technologies - already available or in development - for

producing sustainable fuel blends, at varying levels of readiness. The following

chart graphically shows the processes presently approved or being assessed

by ASTM:

Figure A3.1 – Processes for producing sustainable fuels

These processes include:

Approved processes

Fischer Tropsch (FT) – in which the feedstock is first converted to a mixture

of carbon monoxide and hydrogen, with a subsequent catalytic process leading

to a mixture of hydrocarbons. The properties of the final fuel are completely

independent of the feedstock and are solely influenced by the F-T process

conditions. While the process was originally developed for use with coal, as

Coal-to-Liquid (CtL) technology, the FT technology is also suitable for other

feedstocks, including natural gas for Gas-to-Liquid (GtL) and waste streams,

other sources of biomass and gases, for Biomass-to-Liquid (BtL).

Hydrotreated esters and fatty acids (HEFA, formerly called hydro treated

renewable jet or HRJ) – in which oils are extracted from feedstocks, for

example, from jatropha or algae, which are then refined into fuel in a similar

way that crude fossil oil is refined. The residue from the processing – the meal

– can in many cases also be of commercial use. For example, the meal from

the processing of jatropha can be used as fuel for burning on fires and in

stoves and the meal from algae oil production can be used for fertiliser and

animal feed. Used cooking oil can also be used as a feedstock.

Synthesized Iso-Paraffinic Fuel (SIP). In the SIP pathway, microbes or yeast



are fed sugars (starch, sucrose, cellulose) and the organism produces straight

hydrocarbons which must then be further processed to achieve the required

range of hydrocarbon molecule sizes to make aviation fuel.

Processes under assessment

Alcohol to Jet (ATJ) begins with alcohols such as ethanol, propanol and

(iso)butanol. These alcohols are usually obtained through fermentation of

sugars or starches, but obtaining alcohols from cellulosic material and waste

carbon monoxide is also being explored. In the ATJ process the alcohol

molecules are dehydrated and oligomerized to end up with a mixture of

hydrocarbons of different chain lengths. This is then goes through distillation

and hydrogenation. There are two forms of ATJ under development: one

without aromatics (ATJ-SPK) and one with synthetic aromatics (ATJ-SKA).

Synthesising aromatics could lead to more rapid approval of 100% sustainable

fuels by removing the necessity to blend with fossil fuel.

Hydrotreated depolymerized Cellulosic Jet (HDCJ) or Pyrolysis. This

process uses a liquefaction pyrolysis process to obtain a bio-crude oil from

ligno-cellulosic materials (such as forestry residues and grasses), that are then

refined into aviation fuel through a process of upgrading. The bio-crude oil

mixture is similar to fossil crude oil but requires additional hydro treatment.

This step, together with final distillation, could potentially happen in a traditional

oil refinery where the process has been well established for many years.

Catalytic Hydrothermolysis (CH). This process uses oils from plants (or

algae) as a feedstock. The CH process uses water to convert the feedstock

oils into a crude oil intermediate, which is then hydrotreated and fractionated

with conventional refinery catalysts.

Synthetic Kerosene (SK) and Synthetic Aromatic Kerosene (SAK).

Processes take liquid sugars and catalytically upgrade them to form fuels in the

aviation fuel range with and without aromatics. The advantage of producing

SAK is that it could remove the need to have a blended sustainable fuel.

Green diesel. This is made from oils and fats, is chemically similar to HEFA

fuel and is produced using a process that is the same as the first stage of the

HEFA process. However, it is chemically different and a different product than

the fuel known as ‘biodiesel’. Green Diesel for aviation could be a sub-annex of

the HEFA approval as it uses the same feedstocks and a similar conversion

process but would have slightly different properties.

Co-Processing. This is where vegetable and petroleum oils are blended and

co-processed. It is a further innovation which is currently being investigated.

Developments in the

ASTM fuels approval

process

As discussed in the main report, aviation has very strict performance and

safety requirements, and these also apply to fuel developments. Most of the

world’s aviation fuel is delivered according to the fuel industry’s ‘Joint Fuelling

System Checklist for Jet A-1’, which requires that all new fuels meet the most

stringent performance and safety tests of the UK Ministry of Defence DEF

STAN 91-91 and the ASTM International ASTM D1655 standards.



Aviation Fuel Quality

Requirements for

Jointly Operated

Systems

Engine and airframe manufacturers that have participated in both DEF STAN

91-91 and ASTM D1655 specifications, have ensured that any changes to fuel

profiles result in fuels that are fully compatible with aircraft and engine

performance requirements. Thus, engine and airframe manufacturers are

actively involved in the processes for supporting increased uptake of

sustainable fuel in commercial use.

In 2003, based broadly on the work performed to approve the first FT fuels,

engine and airframe manufacturers played an active role in developing the

ASTM D4054 approval process for new fuels and fuel additives. This is the

industry standard, which enables fuels to be evaluated and potentially certified

in a thorough and optimised manner.

The first new fuel process to be approved for routine commercial use was

Fischer-Tropsch (FT). In 1999, the industry completed pioneering work to

permit the use of alternative pathways to produce aviation fuel through the

DEF STAN 91-91 specification body, by approving the first FT fuels made by

Sasol Ltd from coal as a 50% CtL blend. In 2008 100% CtL was approved.

ASTM D1655 incorporated the Sasol FT approval by reference to DEF STAN

91-91.

In 2009, ASTM developed the ASTM D7566 standard specification for aviation

turbine fuels containing synthesised hydrocarbons. This specification

described acceptable processes for generic FT fuels production from coal,

natural gas and biomass as feedstocks, but limited approval to up to 50%

blend ratio with fossil fuel. This specification is now incorporated into both the

ASTM D1655 and DEF STAN 91-91 JET A1 fuel specifications.

In 2011, ASTM expanded the types of fuels covered by D7566 to include

HEFA (hydrogenated esters and fatty acids) as a 50% blend with fossil fuel.

Typically, pre-approval non-commercial demonstration flights are used to

gather data for the approval process. Demonstration flight data is then used to

support the approval process. Once approved, the fuel can be used in

commercial flights. As such, HEFA fuels were used in a series of

demonstration flights (pre-approval) since 2008 and have been used in

commercial passenger flights (post approval) since 2011.

In 2014 a new annex to ASTM D7566 was added to cover SIP (Synthesized

Iso-Paraffinic fuels). Demonstration flights with sugars based Fuels (e.g. SIP)

were performed in 2013 to collect data and to prepare the research dossier for

the ASTM qualification and certification process. SIP fuel blends are currently

being used for commercial flights.

Future fuel approvals

candidates

On-going work will be focusing on approval of new fuel processing routes to

either blend stocks and/or final 100% sustainable fuel product.

Developing production capability for approved processes

FT HEFA and SIP technologies have already been approved through the

ASTM process. FT and HEFA fuels can be blended up to 50% (known as



27

Also see British Airways project with Solena in Appendix A2.2

50:50) with fossil fuel. SIP fuels are limited to 10% blends with fossil fuels

Other technologies like ATJ and pyrolysis are expected to follow in the coming

months and years. SIP fuels are already in commercial production by

Total/Amyris. HEFA fuels are already being produced by a number of

suppliers, for example NESTE and Dynamic Fuels (using the UOP process).

FT is being produced by, for example Shell (GtL) and production capacity

being established by Solena using waste feedstock (BtL)27

.

Assessing and approving new pathways

The following pathways are actively working through the ASTM D4054

approval process for inclusion via the ASTM D7566 to the international aviation

fuel specifications e.g. the UK Def Stan 91-91 and ASTM D1655:

Alcohol to Jet (ATJ). Fuel companies developing and pursuing this

processing route (without aromatics) through ASTM currently include: Byogy,

Gevo, Lanzatech, Swedish Biofuels, Cobalt/USN and UOP. Byogy, Lanzatech

& Swedish Biofuels are also pursuing the route to produce ATJ with synthetic

aromatics.

Hydrotreated depolymerized cellulosic jet (HDCJ). Fuel companies

developing and pursuing this processing route through ASTM currently include:

UOP and KiOR.

Catalytic Hydrothermolysis (CH). The CH process is being developed

primarily by ARA (Applied research Associates)

Synthetic Kerosene (SK) and Synthetic Aromatic Kerosene (SAK). The SK

and SAK processes are being developed by Virent.

Green diesel. Green Diesel production already exists. Neste’s NExBTL,

ConocoPhilips H-BIO and UOP/Eni Ecofining are just three of the existing

processes. The potential approval and maximum blend percentage for Green

Diesel will be determined during the approval process.



Appendix 4

Sustainable fuel logistics and blending

A4.1 Traceability and chain of custody of sustainable fuel

The requirements of DEF STAN 91-91 specification ensure fuel meets the

required technical standards and that traceability of the fuel supply is present.

These requirements will allow the chain of custody for sustainable fuels to be

adapted in a simple manner from the general requirements that apply to all

fossil fuels. Also, technical documents demonstrating fuel quality must

accompany the product to its destination.

The most common of these documents are:

RCQ - Refinery Certificate of Quality

COA - Certificate of Analysis

RTC - Recertification Test Certificate

A detailed description of these documents and processes follows.

Existing purchase records and refinery certificates of quality (RCQ) provide

sufficient detail of batch contents to satisfy requirements on traceability and

chain of custody. Information relating to sustainable fuel purchases is provided

to airlines by fuel producers, whose records are generally subject to audit.

The fuel supply chain has established a Joint Inspection Group (JIG) which

sets out a common set of fuel quality requirements based on the most stringent

requirements of DEF STAN 91-91 and ASTM D1655. This is widely used as a

common voluntary standard. As with DEF STAN 91-91, synthetic components

are permitted, but “shall be reported as a percentage by volume of the total fuel

in the batch”. In addition there is an ICAO Manual, ICAO 9977 which reflects

global minimum standards.

For sustainable fuel an additional Certificate of Sustainability (CoS) must be

produced using an approved voluntary certification scheme. Batches of both

fossil and sustainable fuels, have documentation that describes their properties

and accompany them to their final destination. A certificate of sustainability will

be created by the certified biofuel producer, and alongside other

documentation, passed along with the fuel as it is blended and transported.

As sustainable fuels become commoditised products, it will be necessary to

design a new method for tracking fuel sustainability certificates on a global

basis.



Further support is

required to fund

research on

overcoming aromatic

content barrier

sustainable fuels

currently face

A4.2 Blending/co-mingling of sustainable fuel

Co-mingling occurs in a variety of ways. Current fuel specifications require

synthetic fuels to be blended before delivery into the fuel distribution system.

Once fuels have been delivered, co-mingling occurs in pipelines, joint airport

storage and distribution systems. However, the blending itself is subject to

constraints. For FT and HEFA fuels the specifications permit, a blend ratio of

up to 50%, and 10% for SIP fuels, subject to the fuels meeting other defined

specification requirements. Depending on the properties of the fossil fuel

available for blending, the blend ratio actually achievable may be considerably

lower.

The main limiting factor is likely to be the aromatics content, as the blend

needs to have an aromatics content of at least 8.4%, due to concerns about

preservation of seal integrity. Since FT, HEFA and SIP based fuels have no

aromatics content, the fossil fuel needs to have an aromatic content of at least

16.8% to permit 50% blending for HEFA and FT fuels. In practice, much of the

fossil fuel produced in Europe has aromatics content below that figure. Other

factors potentially limiting the blend ratio are density and lubricity. Chapter 4

recommends further research activity in this area.

A4.3 Adapted DEF STAN 91-91 descriptions

The following document descriptions were adapted from DEF STAN 91-91:

The Refinery Certificate of Quality (RCQ) is the definitive original

document describing the quality of an aviation product. It contains the

results of measurements, made by the product originator’s laboratory,

of all the properties listed in the latest issue of the relevant

specification. It also provides information regarding the addition of

additives, including both type and amount of any such additives. In

addition, it includes details relating to the identity of the originating

refinery and traceability of the product described. RCQs shall always

be dated and signed by an authorized signatory.

A Certificate of Analysis (COA) may be issued by independent

inspectors and/or laboratories that are certified and accredited, and

contains the results of measurements made of all the properties

included in the latest issue of the relevant specification. It cannot,

however, include details of the additives added previously. It shall

include details relating to the identity of the originating refiner and to

the traceability of the product described. It shall be dated and signed

by an authorized signatory.

Note: A COA shall not be treated as an RCQ.

The Recertification Test Certificate (RTC) demonstrates that

recertification testing has been carried out to verify that the quality of

the aviation fuel concerned has not changed and remains within the

specification limits, for example, after transportation in ocean tankers

or multiproduct pipelines, etc. Where aviation product is transferred to

an installation under circumstances which could potentially result in



contamination, then before further use or transfer, recertification is

necessary. The RTC shall be dated and signed by an authorized

representative of the laboratory carrying out the testing. The results of

all recertification tests shall be checked to confirm that the specification

limits are met, and no significant changes have occurred in any of the

properties.

With the exception of Certificates of Sustainability (not required for fossil fuel),

the same certification documents apply to sustainable fuel as to fossil fuel, with

the following modifications:

RCQ - sustainable fuel blend cannot be certified to ASTM D7566,

ASTM D1655 or DEF STAN 91-91 until it has been blended with fossil

fuel, the blend point is considered the point of batch origin, and an

RCQ must be produced at this point. The RCQ is the only document

that can guarantee the volume fraction of the bio-component (which,

importantly, yields the mass when multiplied by the fuel density)

without additional testing, and must accompany the product to point of

final use. Additional sustainable fuel cannot be blended into the batch

downstream to ensure that the agreed limit of (e.g. 10% or 50% v/v) is

not exceeded.

Note: The above information is necessary to apply for credit under emissions

trading programs.

A4.4 General procedure for certification under ASTM and DEF

STAN

1. Neat synthetic component is produced to the requirements of Annex A1, A2

or A3 of Specification D7566.

a. For the neat synthetic component prior to blending, test results

demonstrating compliance with Annex A1 A2 or A3, and

additives are listed on a separate Refinery Certificate of

Quality (RCQ).

b. A certificate of sustainability (CoS), is produced for the batch,

reflecting the feedstock used, geographical information, and

other key product information. Note that it may be necessary

for the feedstock to also carry sustainability certification.

2. Neat synthetic component may be transported, and is eventually blended

with fossil fuel, ensuring a homogeneous mix. The blending location is

considered the point of manufacture of the blend.

a. For HEFA and FT fuel the blends must contain no less than

50% by volume fossil fuel which is compliant with ASTM

D1655 or DEF STAN 91-91 and of known synthetic fuel

content. For SIP fuels the blends must contain no less than

90% fossil fuel which is compliant with ASTM D1655 or DEF

STAN 91-91 and of known synthetic fuel content.

b. If the fossil fuel already contains a portion of synthetic fuel this



must be accounted for in any subsequent blending to ensure

the blending ratio limit (e.g. 10% or 50% v/v) is not exceeded.

c. Representative samples of the blend are tested against the

primary specifications (as opposed to those in the Annex) of

Specification D7566.

d. Test results and additives are listed in a new RCQ.

e. The RCQ must clearly display the volume percentage of each

synthetic blending component along with its corresponding

release Specification and Annex number, product originator

and originator’s RCQ number.

f. RCQ should contain a statement referring to both D7566 and

the agreed specification. For example: “It is certified that the

samples have been tested using the Test Methods stated and

the Batch represented by the samples conforms to ASTM

D7566 and DEF STAN 91-91 latest editions”. Or, “It is certified

that the samples have been tested using the Test Methods

stated and the Batch represented by the samples conforms to

ASTM D7566 and ASTM D1655 latest editions”.

g. A new CoS is produced for the blend, indicating the blend

volume % of the synthetic-component.

3. Blend is transferred to new owner along with original RCQ for the neat

synthetic component (as discussed in chapter 5), RCQ for the blend, and

CoS.

4. Airline purchases some quantity of the synthetic fuel blend. The airline is

provided with

a. RCQ or COA of the blend, indicating percentage sustainable,

b. RCQ or COA of the neat bio-component,

c. CoS of the blend, and

d. Purchase records (bill of lading, purchase receipts, or other

verifiable documentation detailing the quantities transferred).



A4.5 EU ETS rules on sustainable aviation fuel accounting

1. The aircraft operator must ensure that:

a. A purchase records based system for determining sustainable feedstock is

only applied where the aircraft operator can obtain reasonable assurance

that the sustainable fuel purchased can be traced to its origin, thereby

ensuring that sustainable fuels are not double counted in the EU ETS or

any other renewable energy scheme. For this purpose criteria for the

transparency and verifiability as laid down below must be met by either:

I. a sustainability scheme approved by the Commission under the

RES Directive, or

II. ensured by appropriate national systems (like e.g. guarantee of

origin registries), or

III. by other appropriate evidence provided by the fuel supplier(s) to

the aircraft operator.

b. All relevant purchase records are kept in a transparent and traceable

system (database) for at least 10 years, and are made available to the EU

ETS verifier, and upon request to the competent authority of the

administering Member State.

c. The aircraft operator sets up appropriate data flow and control procedures,

which ensure that only quantities of sustainable fuels used for EU ETS

flights are taken into account. For this purpose, the following shall be

ensured:

Traceable and verifiable evidence is provided about physical sales of

sustainable fuels to third parties;

No double counting of sustainable fuels shall occur. Where data gaps

are found, the aircraft operator shall conservatively assume that the

fuel correlating to the data gap is a fossil fuel.

Only fuels meeting the relevant sustainability criteria are taken into

account.

d. The aircraft operator shall submit to the verifier together with the annual

emissions report a corroborating calculation showing that the total quantity

of sustainable fuels accounted for under the EU ETS for flights of the

aircraft operator neither exceeds the total quantity of fuel uplifts at that

aerodrome for flights covered by the EU ETS in the reporting year, nor the

total quantity of sustainable fuel physically purchased minus the total

quantity of sustainable fuel physically sold to third parties at this aerodrome

by this aircraft operator.

2. The use of laboratory analyses for determination of the sustainable biomass

fraction of fuels uplifted shall be excluded where a purchase based system

for sustainable fuel determination is set up.

3. Where the aircraft operator relies on evidence from the fuel supplier(s) as

mentioned under point 1.(a).iii, the aircraft operator shall request the fuel

supplier to comply with the following criteria in order to allow for appropriate

verification under the EU ETS:

a. Evidence on meeting the relevant sustainability criteria for each

consignment of sustainable fuel must be made available by the fuel supplier



to the EU ETS verifier and the competent authority upon request.

Appropriate records must be kept for 10 years.

b. Evidence must be provided that the total amount of sustainable fuel sold

does not exceed the amount of sustainable fuel purchased and meeting the

appropriate sustainability criteria. Appropriate records must be kept for 10

years.

c. Where several fuel suppliers share facilities such as storage tanks for the

sustainable fuel, those suppliers shall set up an appropriate system of joint

record keeping.

d. The system for accounting of sustainable fuel shall be set up in a

transparent way, ensuring that no double counting of sustainable fuel can

occur.

e. In order to minimise the administrative burden on all participants of such

system, the supplier (or, where appropriate, the suppliers sharing the

facilities) should ensure that the records are verified at least once per year

by an accredited verifier, applying a reasonable level of assurance and a

materiality threshold appropriate for the amount of sustainable fuels sold to

EU ETS aircraft operators. If such verification is not performed, it is likely

that the verifiers of the aircraft operators purchasing sustainable liquids

each have to carry out their own verification. The result of the “centralised”

verification (at the supplier) shall be communicated in written form to all

aircraft operators having purchased sustainable fuels in year x, not later

than 28 February of year x+1. Those communications shall be made

available to the EU ETS verifier by the aircraft operator, and upon request

to the competent authority of the administering Member State.



Appendix 5

E4tech analysis on technical supply potential

A5.1 Available conversion technologies

There are a wide range of conversion technologies at various stages of

development for the production of aviation fuels from wastes, residues and non-

food crops. There have been several demonstration flights and programmes

using different fuels. A key challenge is scaling existing technologies to provide

commercially viable quantities.

SIP, HEFA and FT fuels are certified for use in aviation, with SIP and HEFA

deployed at commercial scale today (but only for the road transport fuels

market). A larger number of processes are at the demonstration stage; both in

terms of demonstrating production at scale and also the suitability of the fuels for

aviation. An inventory of technology developers, including scale of operation and

locations is provided in Appendix 5.7. This inventory forms the basis of the

assessment of sustainable fuel supply potentials to 2020.

New processes are being developed which are currently at laboratory stage.

These new processes are not the focus of this Road-Map in terms of the

potential for deployment to 2030. But, their successful development could result

in these processes contributing significant volumes of sustainable fuel to the

aviation industry between 2030 and 2050. Thus, supporting the achievement of

2050 sustainable fuel use targets discuss in later sections. As such, the needs of

these processes in terms of technical milestones, appropriate funding, and

commercialisation strategy should not be overlooked.

A5.2 HEFA

HEFA is produced by the conversion of vegetable oils or waste oils and fats. It

can be used as “drop-in” blending components for the production of diesel and

aviation fuels. The hydro treatment process consists of: thermal decomposition;

hydrogenation and isomerization reaction to produce diesel; and an additional

selective cracking process to produce aviation fuel.

Full scale commercial plants are operating using vegetable oils, tallow and used

cooking oil:

Neste Oil operates two 190,000 tonne per annum plants in Finland and

two 800,000 tonnes per annum plants in Singapore and Rotterdam,

producing diesel fuel.

Dynamic Fuels operate a commercial plant in the US, which has

supplied aviation fuels for test flights via SkyNRG.

Experience of operating full commercial scale plants could allow a rapid capacity

ramp-up, however the availability of sustainable feedstocks may constrain future

deployment due to concerns over the direct and indirect impacts of using virgin

plant oils for fuel production. HEFA may be produced from microalgae, and this

has received much interest from the aviation sector as it may overcome issues



Government can

incentivise existing

HEFA plants to

configure their

production to 60%

aviation fuels

related to land use change. But, the production of microalgae oils for fuel

production is not yet demonstrated at commercial scale.

At present, the capacity and economic margins to produce diesel are greater

than for fossil fuel; reducing the incentive to supply the aviation sector. As a

result, existing HEFA capacity produces predominantly diesel fuels, with a small

fraction of aviation fuels. It is estimated that approximately 10% of current output

could be destined to aviation fuel. It is however, technically feasible to configure

plants to produce 60% aviation fuels.

The use of Green Diesel (i.e. the diesel fraction of the HEFA process) as a

blending component in aviation fuels is currently being assessed for approval by

ASTM. Such approval would simplify the process for the production of aviation

fuels via hydro treatment, and could lead to an immediate increase in the

production capacity for sustainable fuels. However, the aviation industry will

continue to compete with the road transport sector for this resource.

British Airways and

Solena are

developing a

commercial scale

plant to produce a

sustainable fuel

which can be used by

British Airways flights

out of the UK from

2017

A5.3 Fischer-Tropsch

Fischer-Tropsch (FT) fuels are produced via a set of chemical reactions that

convert syngas—a gaseous mixture of carbon monoxide (CO) and hydrogen

(H2) – into liquid hydrocarbons, including synthetic paraffinic kerosene (SPK).

Solid feedstocks, such as biomass, are first gasified to produce syngas, followed

by the catalytic FT conversion of the syngas to liquids. FT fuels may be

produced from a range of feedstocks, such as coal, natural gas, biomass and/or

waste. However, only FT fuels produced from certain biomass or waste will meet

the sustainability criteria set out by SA.

The FT process is currently applied at commercial scale by Sasol, Petro SA,

Shell and Oryx using fossil feedstocks. Biomass or waste based FT processes

(BTL) are at the pilot and demonstration stages, with first commercial scale

plants in development. British Airways is developing a first of a kind commercial

scale plant in partnership with Solena. The London plant will produce

sustainable fuel from municipal solid waste (MSW) and will be used by British

Airways to fuel part of its flights out of the UK from 2017.

There is also interest in alternative sources of syngas. For example, the reverse

combustion of CO2, and electrolysis of water, being developed by the Sandia

National Laboratories and by the Solar-Jet FP7 project led by ETH Zurich. These

processes are at an early stage development and have not yet been integrated

with downstream FT conversion.



Support for SIP work

could lead to the

production of

sustainable fuels

using biological

processes

A5.4 Synthesized Iso-Paraffinic (SIP) routes

The direct conversion of sugars to hydrocarbons may be achieved via biological

or thermochemical processes. Today only the Amyris Total process has been

approved. This process modifies yeast cells to ferment sugars to hydrocarbons

that can be used directly as a fuel component. The process produces C15

hydrocarbon farnesene produced which is used in a number of chemical and

material applications, including ground transport fuels and use as an aviation

fuel blending component up to a maximum of 10% with fossil fuel.

Several other routes are in a relatively early stage of development. Some

technologies only currently produce a chemical precursor, which requires further

upgrading/refining before use in aviation fuel. Other integrated processes are

operating at small scale and are engaged in the fuel accreditation process.

Some example processes under development include:

The use of biological catalysts to ferment sugars to hydrocarbons that

may be hydrogenated to produce fuel blending components. For

example LS9 produce fatty acid methyl esters (FAME) and fatty acid

ethyl esters (FAEE) that may be converted to aviation fuel blending

components via hydro treatment.

The use of aqueous phase reforming to convert sugars to hydrogen and

a mixture of chemical intermediates (e.g. alcohols, ketones, acids, and

furans), which are converted to fuel blending components by

conventional condensation and hydro treatment processes. As

developed by Virent.

Virgin Atlantic,

Lanzatech and

Swedish Biofuels are

working together to

prove the production

of sustainable fuel

from waste carbon

monoxide gases

5.5 Alcohol-to-jet (ATJ) routes

The alcohol-to-jet (ATJ) route involves the catalytic conversion of methanol,

ethanol or butanol into kerosene. The typical conversion route is first dehydration

of the alcohol(s) to alkenes (olefins), followed by oligomerization into longer

chain hydrocarbons and hydrogenation, with final rectification/distillation into

gasoline, aviation fuel and diesel fractions. Catalytic processes are being

developed that yield high fractions of aviation fuel (50%) as opposed to gasoline

(15%) and diesel (35%).

Catalytically converting alcohols to higher hydrocarbon fractions suitable for

transport applications is an established technology, e.g. Mobil’s Methanol-to-

Gasoline process. However, the conversion of ethanol and iso-butanol is

currently at the demonstration stage. A demonstration plant is planned with

funding from the European Commission’s Seventh Framework Programme, and

the accreditation of aviation fuels produced from iso-butanol and ethanol is

underway.

Ethanol or iso-butanol intermediates may be produced via the fermentation of

biomass, carbon monoxide rich waste gases (e.g. steel mill waste gas), or

syngas from biomass gasification. Virgin Atlantic has formed a strategic

partnership with Lanzatech, to demonstrate the production of ethanol from waste



carbon monoxide gases, and the subsequent catalytic conversion to sustainable

fuels.

Certain processes in

the production of

HDCJ can be

integrated into

existing oil refinery

operations

A5.6 Hydrotreated depolymerised cellulosic jet (HDCJ)

Hydrotreated depolymerised cellulosic jet (HDCJ) is produced by the pyrolysis of

lignocellulosic biomass to an intermediate bio-crude oil, followed by hydro

treatment and fractionation to gasoline, aviation fuel and diesel products.

Hydrotreatment and fractionation of pyrolysis oil may take place in dedicated

facilities or may be integrated into existing oil refinery operations. The process is

the pilot to demonstration stage, with several pilot plants either operational or

under construction, including UOP and Allenotech. KiOR have built and operated

a large demonstration facility in the USA but the plant has been idle since March

2014.

TPA (tonnes per

annum) corresponds

to the approximate

annual capacity of a

chemical plant to

produce aviation fuel

in tonnes

It can be seen that

currently UK

commitment to

sustainable fuels is a

mere 2.8%

A5.7 Summary of operational and planned plants

Process Producer Location Status TPA

ATJ

Fulcrum Biofuels US Planned - advanced 10,000 Lanzatech China

40,000

Swedish Biofuels Europe Planned - advanced 10,000

Terrabon US Operational Pilot Operational 1,500

FT

Forest BTL Finland Planned - early 115,000

Haldor Topsoe US Operational 1,000

Red Rock Biofuels US Planned - early 50,000

Solena

India Announced 300,000 UK Planned - advanced 100,000 Australia Planned - early 100,000 Germany Planned - early 100,000 Ireland Announced 100,000 Italy Announced 100,000 Sweden Announced 100,000 Turkey Announced 100,000

TRI Canada Operational 20,000

US Planned - early 40,000 Planned - early 20,000

UPM Finland Under construction 100,000 France Planned - early 100,000

HEFA

Alt Air US Under construction 95,000

Darling Int. and Valero US Under construction 450,000

Dynamic Fuels US Operational 235,000

Emerald Biofuels US Planned - early 270,000 Planned - early 470,000

ENI Italy Operational 315,000

Neste

Finland Operational 190,000 Finland Operational 190,000 Netherlands Operational 800,000 Singapore Operational 800,000

UOP US Operational 10,000

STJ

Amyris Brazil Operational 40,000 Planned - advanced 40,000

LS9 Brazil Planned - early 235,000 US Planned - early 30,000

Solazymes US Operational 100,000

Virent US Operational Demonstration

UPO

Allenotech US Operational Pilot

BTG Netherlands Planned - early 17,000

UOP Hawaii Under construction Pilot

Other Biochemtex Europe Planned - early 2,000



Blue Sun US Planned - early 4,000

Licella Australia Operational Pilot Operational 17,000

A5.8 Other key assumptions

The estimated percentage volumes quoted in the E4tech analysis were based

on the SA’s updated CO2 Road-Map of 2012.

These figures are taken from the spreadsheet used to construct the SA CO2 Road-Map, using assumptions documented at: http://www.sustainableaviation.co.uk/wp-content/uploads/SA-CO2-Road-Map-full-report-280212.pdf



Sustainable Aviation is supported by the following signatories:


www.sustainableaviation.co.ukE: [email protected]: 020 7799 3171

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